Few would dispute that the passing of the Renters’ Rights Act was lengthy overdue, with motion wanted to take away rogue operators, who’ve dominated headlines through the years, from the market.
Accountable landlords – people who spend money on property upkeep, adjust to security rules, and are respectful of their tenants – perceive this. Nevertheless, policymakers want to make sure that they aren’t those that danger being pushed out utterly.
Brokers on the forefront of the market now have the chance to supply landlords with invaluable strategic recommendation, to make sure their subsequent transfer is nicely knowledgeable.
Altering landlord behaviour
Over the previous yr, landlord confidence has considerably weakened. Between April and June 2025, the Nationwide Residential Landlord Affiliation (NRLA) reported that 6,700 households certified for council assist as a result of their landlord selected to repossess and promote the property. This determine has risen by roughly 19 per cent since late 2024, in accordance with the evaluation. It displays a transparent sample: extra landlords are selecting to exit the sector, and fewer are coming into to interchange them.
That is taking place at a time when demand for good high quality housing is reaching document ranges. Authorities figures reveal that there have been 132,410 households dwelling in momentary lodging in June 2025 – the best quantity on document. 63.6% of those households embrace dependent youngsters (+7.5% versus June 2024), and the Native Authorities Affiliation has warned that momentary lodging is changing into one among their largest and fastest-growing monetary pressures.
Landlords are stepping again because of a mix of things. Though the Autumn Finances prevented introducing Nationwide Insurance coverage on rental earnings, it raised the tax on dividends, financial savings and rental earnings by 2%. The NRLA described the chancellor’s announcement as “deeply regressive”, with the extra prices prone to push up rents throughout the nation and disproportionately have an effect on low-income households.
Moreover, with Native Housing Allowance (LHA) frozen for the second yr in a row in 2026/7, many tenants receivingfinancial assist might be pushed nearer to homelessness because the cost-of-living disaster continues to grip households throughout England.
Regulatory adjustments – primarily the Renters’ Rights Act – are creating extra administrative and monetary pressures too. While it’s unlikely to be enforced till a minimum of 2035, the eventual extension of the Respectable Properties Normal to the non-public sector alerts a future shift within the anticipated high quality of properties. So, it’s unsurprising that most of the smaller landlords, who make up a big proportion of the market but have restricted assets in comparison with the bigger operators, really feel they now not have the monetary resilience or certainty to proceed letting properties.
For property and letting brokers, these developments have quick implications. Fewer landlords imply fewer directions, lowered managed inventory and extra aggressive native markets. Many landlords contemplating promoting up are doing so out ofconcern moderately than choice. They’re searching for reassurance, extra predictable earnings and better assist as they navigate regulatory and monetary adjustments.
Supporting landlords by way of transition
That is the place brokers can play a precious advisory position. Earlier than instantly accepting directions to promote, there’s worth in exploring whether or not various administration fashions would possibly higher serve the owner’s future pursuits. Doing so not solely strengthens long-term relationships, however can improve the agent’s status as a trusted, well-informed companion.
Some landlords assume their solely choices are a conventional Assured Shorthold Tenancy or promoting up, however the emergence of other administration fashions are presenting new alternatives.
One notable development is the rising variety of native authorities coming into partnerships with specialist property managers to handle momentary lodging shortages. These preparations sometimes contain fixed-term leases with predictable earnings streams that supply landlords better property safety than an ordinary AST. In the meantime, councils are capable of present extra steady, safe and good qualityaccommodation for the 1000’s of households at the moment dwelling in unsuitable lodging throughout the UK.
With out exploring and understanding viable alternate options, many landlords will resolve that promoting is their solely choice. Now’s the time for brokers to exhibit credibility and present their assist earlier than it’s too late.
Getting ready for what’s subsequent
Landlords are going through a spread of challenges as we speak, together with rising prices, tax adjustments, tighter regulation and elevated administrative calls for.
With the market at a crossroads, brokers who place themselves as strategic advisors will have the ability to retain landlord confidence by way of this era of change. This implies partaking in supportive and knowledgeable conversations to discover all viable choices, earlier than they exit the market prematurely.
By providing knowledgeable and balanced steerage, brokers may help landlords to proceed working with confidence, keep important rental provide and assist a more healthy, extra resilient housing system for the long run.
John Angus is managing director of Change Administration
