The article reports that more than half of letting agents have become more cautious about recommending tenants since the Renters’ Rights Act came into force. Goodlord says this reflects landlord concerns around the end of Section 21, limits on rent in advance and restrictions on bidding above asking rent, with some landlords now more likely to reject applicants or leave properties vacant while waiting for lower-risk tenants.
Research cited in the article suggests a significant proportion of letting agents lack confidence in identifying suspicious client money transactions, with more than a third saying they could not reliably spot fraud. The report also indicates that agents perceive fraud risk to be increasing, with AI-enabled impersonation and deepfake scams seen as a growing threat alongside more traditional phishing and landlord or tenant impersonation.
Pegasus Insight research indicates that landlord use of lettings agents has risen to a two-year high, with two thirds now using an agent for some or all of the letting process. The increase is being driven mainly by demand for full property management, as landlords face growing regulatory complexity and higher time commitments in managing rental portfolios.
