Landlords boost asking rents because of Renters Rights Act
Summary
The article reports early evidence that landlords are increasing advertised rents in response to the Renters Rights Act, particularly because bidding wars are being banned and in-tenancy rent rises are harder to impose. It also argues that broader rental demand has normalised, with fewer enquiries per property and a market increasingly shaped by affordability and turnover rather than a fresh surge in demand.
Why it matters
Residential property surveyors involved in valuation and rental market analysis may need to account for a possible short-term uplift in advertised rents that does not necessarily translate into achieved rents. The article also highlights changing rental market dynamics that can affect comparables, yield assumptions and local market commentary.
Key points
- Landlords may be pricing higher at the point of advertisement due to restrictions on bidding wars and rent increases during tenancies.
- Hello Neighbour suggests the effect may be short-term if rents exceed what the market will bear.
- Rental demand has eased from peak levels, with fewer enquiries and viewing requests per available property.
- The private rented sector stock remains at a record high, but longer tenancies are reducing availability.
- New housing delivery remains below the 300,000-home benchmark, limiting near-term relief in rental availability.
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