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Graham Awards


Tax, Red Tape and Soaring Costs force landlords to quit

A survey of thousands of landlords, agents and tenants has provided new evidence of buy to let investors quitting in droves.

Over the last 12 months, 95 per cent of letting agents saw at least one of their landlords sell at least one of their properties. 

Nearly a quarter of letting agents saw up to 20 per cent of their landlords selling at least one of their properties.


And 80 per cent of letting agents said they expected more landlords to leave the sector in the next 12 months - 36 per cent said they believed it would be a “significant amount”.

According to the landlords themselves, 30 per cent said they had put at least one property up for sale. A further 17 per cent said they were considering doing so in the next 12 months, indicating a lack of confidence in the future of the rental market. 

Landlords are overall feeling pessimistic about the Renters Reform Bill with 25 per cent feeling “very” pessimistic and 29 per cent feeling “somewhat pessimistic.”

Only 14 per cent of landlords are feeling at all optimistic. 

Landlords hold negative views regarding the introduction of a new ombudsman - a key part of the Renters Reform Bill - with 43 per cent believing it would have a negative impact on the sector, and 22 per cent believing it would have a positive impact. 

Conversely, 42 per cent of letting agents and 41 per cent of industry suppliers believe that it would have a positive impact.

There was also a strong level of landlord dissent about the Minimum Energy Efficiency Standard with two thirds saying that half of their properties or fewer meet current requirements.

The same survey - by PropTech suppliers Goodlord and Vouch - found that landlords were already measures to secure rental incomes through guarantors. 

Some 60 per cent of landlords said they would ask for a guarantor if the tenant was on a salary that could affect the affordability of a property. A significant 16 per cent of landlords said they now required a tenant to provide a guarantor, regardless of salary.

And 33 per cent of 1,000 tenants who responded said they have been asked to provide a guarantor in their most recent tenancy agreement.

Goodlord chief executive William Reeve says: “This is our biggest report to date, both in terms of respondent size and the scope of topics covered. 

“We’ve all felt the pressures facing the rental market over the last 12 months, but today’s report offers tangible evidence around what’s actually happening on the ground. We can see which forces are giving landlords pause for thought, where anxieties for tenants are coalescing, and how agents are preparing for change. 

“The private rental sector is a vital part of our economy; we hope this report provides valuable insight to all of its stakeholders and encourages decision makers to take the steps which will boost confidence in the market, particularly for landlords.”

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    I DON”T BELIEVE IT !! 😂😂😂 Run for the hills, and fast 💰💰

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    We all know that the majority of landlords are pulling out because of the RENTERS REFORM legislation. We also all know that we haven't had any vocal representation regarding it.


    Whilst RRB is a factor, I have been selling all the properties that are unlikely to get an EPC C without significant expense. There are measures you can take to mitigate the loss of S21 - mostly being very picky about tenants - but EPC C looks like a complete car crash to me.


    There may be exemptions from the requirement to reach EPC C if it would cost over a certain amount. We don't know about the EPC rules yet.

    When there was no Section 21 in the past landlords let in different ways - company lets etc. However alternative ways of letting had their own complications.

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    To add to the list of 💩💩💩💩. Gove has a few days ago announced unlimited fines for landlords regarding mould and damp…. 🆘 🆘 🆘 Talk about make you want to go.

    My stupid Nigerians had 4 kids and 3 adults all in a 3 bed semi. I didn’t agree to that. Caught them several times drying clothes with windows shut all while I got a Council letter and no win no fee solicitor letter for it…. Luckily it was easy enough to defend. Just cost me my time and £600+VAT.

    Landlord can’t control their tenants now. Let alone after the RRB has been put into law.


    There is no need for racism! You are the landlord, I assume you choose your tenants, therefore you do have control!


    ''Racism'' where Karen? Nick is stating a fact, he's spot on correct, some times the truth hurts


    Typical Karen.

    The comment is not intended to be racist at all. I did pick them. I didn't have many choices though. But I could have afforded to leave the property empty indefinitely. I would myself would rather have waited for a better option (a lot better) or sold the property rather than take them. But I still continued with them and gave them a chance fully expecting here to be on benefits which I told my agent I would not accept.

    They passed a weak referencing system. She claimed to be a Financial Advisor. But she's on a temporary Residence Card. So I doubted she could practice over here. I checked her out myself. Neither her company or her had any registration with the FCA. Her employer had no website. Directors were Nigerian too.... But I still gave her a chance.

    She was nothing but trouble. The only financial advice she can give would be down at the school telling all the other mums what benefits they can claim for. Or how to claim compensation with dodgy claims scam artists (lawyers).

    She cost me a lot of money in repairs, money to get her out and left the house in a mess.

    People know people from certain countries are not to be trusted. Like Russians who stop paying the rent. Nigerians are often scammers. I was very wary about having a complicated legal relationship with poor people who see you as a target for extracting money from. This was in 2019, let alone now.

    The main point is with S21 going, the non-impartial ombudsman and the rest of the RRB be careful who you let into your property!

    Time for you to call the manager now?



    If Nick had been racist he wouldn't have let to the Nigerians in the first place but he was severely punished for NOT being racist.

    If you object to his description, how else would you describe stupid people of Nigerian ethnicity?

    Incidentally in Glasgow a Karen is a slang derogatory term for a female who dresses and acts in a certain way but I would never use it myself as it might be unfair to some people called Karen.


    Exactly Robert. To be honest it's the first time I have used the term Karen as you have described.


    I too do not see that Nick's comment is being racist, he is simply stating relevant facts.
    I do not agree with finger pointing at different nations as to their honesty, though understand why people do especially after a poor experience. I have had far more issues with English tenants than any other group, this would make sense though as the ratio has been higher.
    I can only see tenants becoming further empowered to challenge Landlord's and use it as an excuse to not pay rent, I cannot see the legal system improving much pver the next decade in order to tackle this problem and as such will be selling between 2-4 houses over the next 30 months or so.
    The remaining 3 I will keep, however, if the existing tenants leave then they too will be sold.
    I have had a good run with BTL but for me the writing is on the wall.
    I would not advise anyone not to do what I have done, but I do think you will need to set up a Limited Company, i did look into it for me, but have decided against it and prefer to refurb and sell what I have.


    Hi Nick - there doesn't seem to be an option to reply to replies. Anyway since my comments have generated a lot of comments I feel I should reply. Your Nigerians are not actually stupid, they know how to play the system, like so many tenants do nowadays. I used to live in Nigeria, btw, many years ago, it's was a real dog eat dog place. No such thing as benefits, you don't work, you don't eat. But for all their poverty I remember them as having a zest for life and big hearty laughs.
    My worst tenant was a young white British man, gave me a good sob story, I gave him a chance, he trashed the house, grew cannabis in a bedroom during covid (when I couldn't do any checks) and stopped paying the rent. I got him out by selling the house, he owed £4000 in back rent - could have been worse. I sold at what I bought the house for, no CGT for me!


    Hi Karen,

    I wasn't happy to take them as I don't consider them trustworthy. But of course I could have picked someone else who I thought had a good back ground. At least then I could say I did what was right at the time.

    I now they come from a hard country. So I may have encountered a difficult attitude too. Also I saw myself as a target for a poorer compensation seeker. Which I got all of it!

    I'm sorry to hear about your bad experiences too.


    So what did you do to sort your problem. I have also same issues if not worse they don't ventilate don't open windows keep all doors closed don't clean have too much stuff in the house. Dispute rent arrears which is significant amount as they had stop paying rent once S8 notice was issued.
    Been trying get them out. The property which is a 2bed flat will cost £40k to repair as damp has increased into the wall and woodwork due to lot of condensation.

  • George Dawes

    It's like that scene from Braveheart


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    Not good for letting agents either as they lose clients/properties in the great sell off. However my agent in N Wales has a bit of a silver lining to the cloud hanging over them. They told me that following the introduction of 300% council tax on holiday homes now chargeable in Wales, they have a number of ex holiday homes on their books as the owners of these properties bail out of their industry as well, although it does not make up all of the business they have lost. Nice one Drakeford, 2 property business types being destroyed by legislation.

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    Tricia, Sorry there are mitigations to substitute Section 21.
    There’s no way in the World that landlords can accept sitting Tenants.
    I had all that nonsense when renting between 1978 & 1988 when there was no such thing as buy 2 let or digital academics either.


    100% right Michael. I had the same experience.


    Michael, in 20 years I have issued 2 S21s. The new S8 should still allow us to evict for most of the reasons we use S21 for at present so whilst unhappy about its loss I am not distraught. EPC C on the other hand......

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    The government (Gove) is busy digging its hole!!!
    Scenario: It makes no financial sense either for me or my tenants for me to spend thousands of pounds to get my D rated houses to C's to save them a couple of hundred pounds of electricity & gas.
    Therefore due to the government's proposed legislation it will be illegal to continue to let my properties, therefore I will have to evict the tenants due to government legislation! That should be an interesting one for the idiot politicians to explain to a homeless ex tenant!!!


    Of course, it won't by the Govt's fault if you are forced to evict your tenants Colin, you are the demon landlord!

  • George Dawes

    Epc plus smart meters plus all this legislation - taking your own property off you soon then renting it back to you

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    Rising interest rates , Section 24 Taxes , EPC, and Renters reform Bill ,Selective Licence, 3 in a Bed is now an HMO. Gove view that Mould is caused by Landlords. Not Tenants Life Style. £30000 fine for virtually anything without going in front of a Judge.
    Any one would be Bad enough, but all of them .
    There is a rental crisis and its caused by the Government.
    This is what happens when you try fix something that was working fine , and your clueless

  • Peter  Yednell

    I note the Renters Reform Bill is based on the Shelter propaganda about landlords supposedly arbitrarily evicting on two months notice. No such right currently exists for landlords. The two month notice applies to the ending of a fixed term contract where the tenant has refused to leave. What is true is a tiny minority of landlords allow a fixed term contract to expire and neithier seek possession not renew the contract. Such landlords can then evixt on two months notice. The way around this is to make all fixed term contracts (AST) roll over contracts unless notice to quit has been served (section 20) and with that section 20 time expiring unless the Landlord intitiaes court proceedings. Most small landlords will/do clearly want the guarantee of being able to regain their property at the end of a fixed period. We landlords are aware that ending fixed term contracts will /already has led to many landlords quitting at a time of riding demand. What the goverment could do is copy the French and make all new short term tenancies three years. Most small. Landlords could live with minimum three year contracts. I have written to my MP but received a negative response. Neverthess I strongly urge all landlords to write to their MPs to that the renters reform Bill be amended.

  • Peter  Yednell

    FAO Karen Wetherby.

    I agree that one can't judge a potential tenant by race. I have had good and bad tenants of all races. That's why proper referencing is so important. However with Assured Shortholds I have been willing to take a chance with people who through no fault of their own can't provide the full references I normally require. Eg if their previous sucessful own business had collasped, been abroad, relationship breakdown.. With the goverment stopping fixed term tenancies, I, and most landlords will be far more fusssy.. Probably it will end up with landlords seeking rent guarantors for all tenants (until the government bans guarantors!)

    In respect to mould caused by condensation.. Properties I own seem to have choosy mould. With some tenants there is none. When they leave, the new tenants have a (supposed) or problem despite swearing they ventilate their home.. And when they leave... New tenants move in who don't have a problem.. And then when they leave... etc etc 😕


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