Landlords selling up is fuelling the homelessness crisis – NRLA

Landlords selling up is fuelling the homelessness crisis – NRLA

9:39 AM, 11th December 2024, About 2 weeks ago 13

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The number of tenants facing homelessness due to landlords selling up has soared by a third since the end of last year, the National Residential Landlords Association (NRLA) reveals.

It says that between October and December 2023, 5,400 households in the private rented sector (PRS) in England were forced to seek council support after their landlord decided to sell.

This figure has since risen to 7,130 households between April and June 2024.

Selling a property has emerged as the primary reason for landlords ending tenancies – that’s nearly three times more than the next reason.

‘Landlords decide to sell up’

The NRLA’s chief executive, Ben Beadle, said: “Right across the country it is tenants who are suffering as landlords decide to sell up.

“No amount of changing the rules about when landlords can sell will address the central problem in the rental market, namely a chronic shortage of homes to meet demand.”

He added: “What tenants need is greater choice.

“That means encouraging and supporting the vast majority of responsible landlords to stay and continue to provide decent quality housing.”

Notice period before landlords can sell

While the upcoming Renters’ Rights Bill will extend the notice period before landlords can sell, the NRLA argues that more substantial measures are needed to encourage landlords to remain in the PRS.

Government figures reveal that a third of landlords (31%) intend to sell their rental properties within the next two years, up from 22% previously.

However, only 7% plan to provide new rental homes, down from 11% in 2021.

With an average of 21 people competing for each available rental property, the NRLA is urging the government to reform rental housing taxation to incentivize the supply of high-quality homes.

Reform the way rented housing is taxed

The NRLA is now urging the Government to reform the way rented housing is taxed to encourage the supply of new, decent quality rental homes.

Also, it says that responsible landlords need confidence that when Section 21 ‘no-fault’ repossessions end, legitimate possession cases will be processed quicker by the courts than at present.

The NRLA also wants the Government to publish a clear plan to improve the court system.


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TheMaluka

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9:52 AM, 11th December 2024, About 2 weeks ago

The NRLA also need to challenge the government on the ludicrous way in which rent rises can be challenged.

Ryan Stevens

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10:17 AM, 11th December 2024, About 2 weeks ago

"The NRLA also wants the Government to publish a clear plan to improve the court system."

Entirely pointless, it could take donkey's years, if at all, for such a plan to be implemented.

What the NRLA needs to be doing is insisting on immediate action to reduce court waiting times.

Dizzy

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10:32 AM, 11th December 2024, About 2 weeks ago

The NRLA also need to tackle the EPC c#ap coming landlords way.

They are fast becoming an organisation not fit for purpose regarding anything other than basic documents.

Ryan Stevens

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10:47 AM, 11th December 2024, About 2 weeks ago

Reply to the comment left by Dizzy at 11/12/2024 - 10:32
I guess the NRLA's main income comes from big business landlords, so they don't care about small landlords.

Cider Drinker

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11:03 AM, 11th December 2024, About 2 weeks ago

Reply to the comment left by Ryan Stevens at 11/12/2024 - 10:47
I think you guess wrong.

Large portfolio landlords steer clear of NRLA.

Ryan Stevens

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11:05 AM, 11th December 2024, About 2 weeks ago

Reply to the comment left by Cider Drinker at 11/12/2024 - 11:03
In that case why isn't the NRLA doing anything to bring significant pressure on behalf of small landlords:-)

Cider Drinker

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11:50 AM, 11th December 2024, About 2 weeks ago

Reply to the comment left by Ryan Stevens at 11/12/2024 - 11:05
NRLA have a dilemma.

More legislation fuels demand for t(e courses that they offer. These courses cost little to supply (once the software is loaded) and they bring in large profits.

More legislation sees the number of landlords fall.

NRLA adjust their rhetoric to maximise income.

They don’t care if they have 100,000 landlords doing an average of 0.7 courses per year or 60,000 landlords doing 2.1 courses per year (numbers for illustration only) so long as their income is maximised.

Cider Drinker

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11:53 AM, 11th December 2024, About 2 weeks ago

I believe landlords selling has little impact on homelessness.
If the normal property is occupied by either the original tenant, another tenant or a homebuyer, its capacity is one family unit.
Only when the property is sold to a holiday let company, a second home owner or is left vacant does it impact the homelessness number.

pe385

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12:27 PM, 11th December 2024, About 2 weeks ago

Reply to the comment left by Cider Drinker at 11/12/2024 - 11:53See this is where this theory is completely wrong. When a landlord sells the family usually in the property will never be able to afford their own home especially if they are on housing benefit or universal credit. So when they are thrown out they will usually end up in temporary accommodation which costs the taxpayer 3x as much! Usually when the property is purchased it goes to a first time buyer who lives with their parents or who already has accommodation. So they wasn’t homeless in the first place. Government policies are truly damaging and fueling the housing crisis. Most landlords are good and law abiding and it’s nothing but a witch hunt and vote winner. We will see the true extent of the damage in a few years time when there are more ques of homeless people on the councils doorstep. If anything tge governemt should be helping landlords whilst building enough homes. Everyone is a loser here and the people who will be hit hardest are the poorest as supply dwindles and rents go up. You’ll see

Paul Essex

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13:07 PM, 11th December 2024, About 2 weeks ago

Of course, but this is absolutely tiny compared to the effect of uncontrolled immigration. So homes sold by landlords are a bit less likely to be fully occupied, think couple buying a three bed semi. At worst a miniscule effect, way less than second homes and Airbnb.

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