Pace of landlord sales is slowing – Hamptons
Summary
Hamptons reports that landlord sales have slowed after the Renters’ Rights Act, with more landlord purchases than sales recorded in June for the first time since 2019. The research suggests the new 12-month re-letting ban after serving notice to sell may be making landlords more cautious, particularly where sales are slower and failed sales are more common, such as in flats and in London and the South.
Why it matters
This is relevant to residential property surveyors because it points to changing investor behaviour, transaction risk and stock availability in the private rented sector. It also highlights how legislative change can affect saleability, void risk and market dynamics for flats and rental stock.
Key points
- Landlord sales slowed in June after a pre-reform spike in activity.
- Hamptons says the Renters’ Rights Act may be discouraging some landlords from selling because of the 12-month re-letting ban.
- Failed sales are a particular issue for flats, which take longer to sell than houses.
- Landlord exits remain most concentrated in London and the South of England.
- New-let rents continue to rise, though growth is stronger in northern markets than in London.
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