Crisis-point: Huge buy to let sell-off imminent according to new figures
A quarter of private landlords are looking to sell at least one property over the next year according to new research out today.
Of almost 2,500 landlords who responded to a survey by the Residential Landlords Association, just over 25 per cent said that they were planning to sell at least one property over the next year.
This is the highest proportion since the RLA started asking this question regularly in 2016.
The survey also shows that 23 per cent of landlords report an increase in the demand for rental property over the previous three months, with 57 per cent reporting it to be stable.
Over a third of landlords reported low levels of confidence in the private rented sector over the next 12 months.
The results come following the publication of government data earlier this year which found that 10 per cent of private landlords representing 18 per cent of tenancies plan to decrease the number of properties they let out.
Five per cent of landlords, representing five per cent of tenancies, plan to sell all of their properties.
Meanwhile the Royal Institution of Chartered Surveyors has warned that the imbalance between supply and demand in the rental market is expected to see rent increases averaging three per cent per annum over the next five years.
The RLA argues that it is vital that landlords retain confidence to provide the homes to rent that are desperately needed.
This means ensuring that new regulations governing how landlords can regain possession of their properties in legitimate circumstances are fair and effective both for landlords and the tenants.
“All the talk of longer tenancies will mean nothing if the homes to rent on not there in the first place” says David Smith, policy director at the RLA.
“The government’s tax increases on the sector are already making it difficult for tenants to find a place to live, with many landlords not renewing tenancies. If rushed and not thought through, planned changes to the way landlords can repossess properties risk making the situation even worse.
“Action is needed to stimulate supply with pro-growth taxation and a process for repossessing homes that is fair to all.”