Nearly two-thirds of professional landlords raising rents
Summary
Handelsbanken’s latest Property Investor Report says rising operating costs and the Renters’ Rights Act are prompting many professional landlords to increase rents, tighten tenant selection and reassess portfolio strategy. The survey also suggests some investors are delaying upgrades, selling assets or taking properties out of the rental market, although most still expect to expand holdings over the next year.
Why it matters
The findings point to continued pressure on the private rented sector, with implications for rent levels, tenant affordability and landlord decision-making. Surveyors involved in valuation, portfolio advice and rental market analysis may need to factor in higher compliance and operating costs when assessing assets.
Key points
- 63% of surveyed landlords said higher costs have led them to raise rents.
- 59% are tightening tenant selection criteria in response to the Renters’ Rights Act.
- Maintenance, insurance and energy efficiency upgrades were the most commonly cited cost increases.
- 20% said higher costs had prompted them to sell, and 19% had taken properties off the rental market.
- Most investors still expect portfolio values to rise and plan to grow holdings over the next 12 months.
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