Lomond: Renters’ Rights Bill not driving mass landlord exodus

Lomond: Renters’ Rights Bill not driving mass landlord exodus

0:01 AM, 10th October 2024, About 2 months ago 4

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The Renters’ Rights Bill IS NOT causing a mass landlord exodus, claims network of lettings and sales agents.

According to Lomond, the UK’s leading network of lettings and sales agents, the number of tenanted properties being listed on the sales market has fallen by nearly -20% since the end of June.

However, Lomond warns the real test will be seen with the upcoming October budget as many landlords fear a rumoured capital gains tax rise.

Numbers have fallen

Lomond has analysed the number of residential properties that have come to the UK sales market with tenants still in situ in September 2024 and compared this to the number that came to market in June 2024.

In September 2024, 10,041 properties with tenants still in situ were listed on Great Britain’s housing market. This is -19.2% fewer than the 12,423 properties listed in June 2024.

Lomond says this goes against the narrative from those who fear the bill will result in fuelling a mass exodus of landlords from the buy-to-let sector.

Not seeing a mass landlord exodus

Lomond chief executive, Ed Phillips, said: “Much has been made about the exodus of landlords from the buy-to-let sector and with Labour quick out of the gates to propose yet more pro-tenant legislative changes, there had been worries that more landlords would have made a swift exit.

“But, since the relaunch of the Renters’ Rights Bill under our new Labour government in late May, we’re yet to see any evidence of this and, in fact, the number of homes listed across the market for sale with a tenant in situ has actually fallen.

“However, the real test will be the impending Autumn Budget at the end of this month, as we could yet see more changes that impact the financial returns of Buy-to-Let investors, with Capital Gains Tax looking the most likely shake up on the cards.”

In the West Midlands, there are currently 600 properties with tenants in situ listed on the market, a significant reduction of  -54.7% compared to June’s number of 1,324 properties.

In the East of England the number is down -50.8% since June; and in the North East it’s down-19.8%.


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Paul Essex

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10:47 AM, 10th October 2024, About 2 months ago

Not seeing a mass exodus, but goes on to list massive reductions - should have gone to SpecSavers?

Martin

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10:48 AM, 10th October 2024, About 2 months ago

This is the "lies, damned lies and statistics" again.
A tenant in situ count is a bit meaningless without adding in a chain free count.
I wouldn't sell a property with a tenant in situ unless I absolutely had to.
The Landlord pool is reducing, no argument, even just with natural wastage such as retirement. There is no incentive to start as a landlord now.

DPT

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11:13 AM, 10th October 2024, About 2 months ago

If there isn't yet a mass exodus, it's only because the majority of landlords are still largely in a state of ignorance about the RRB.

Cider Drinker

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15:14 PM, 10th October 2024, About 2 months ago

Property is an illiquid investment.
This means that even if you want to sell up, it ain’t that easy. The mass exodus of landlords will always lag behind any new rules that are brought in.
The PRS will be far smaller in 5 years time. Watch this space. And there will not be 1.5 million new homes.

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