Alarm bells for tenants as landlords are either hiking rents or selling up

Half of renters are facing a rent increases due to landlords both hiking prices and exiting the market due to tax and legislative changes, research claims.

A poll of 1,000 landlords by online lettings agent MakeUrMove found 49% expect to increase rents while 51% are considering selling due to changes in the housing market.

Alexandra Morris, managing director of MakeUrMove, said the lack of new rental properties on the market will push rents up further and will affect the capital’s 898,000 tenants the most.

This is because figures released by Rightmove show London has seen a larger increase in rental prices compared to anywhere else in the UK up, 3.4% annually.

Morris said: “The lettings industry has continually been warning the Government that the changes they’ve introduced to the private rental sector such as the loss of mortgage tax reliefs, additional regulations on landlords and the looming tenants fees ban, would have unintended consequences such as rent increases, and that is now happening in London.

“This increase in rental prices in the capital should ring alarm bells. Action must be taken to ensure it remains financially viable for tenants to rent properties and for landlords to meet their financial obligations.”

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12 Comments

  1. JMK

    Rents going up, landlords quitting and all due to tax and legislative changes.  Whodathoughtit?

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  2. RichardHill61

    No **** Sherlock!!

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  3. LandlordsandLetting

    There’s no point warning stupid politicians about anything. They always know best.

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  4. Property Paddy

    “I am really surprised, I did not see this coming” said the mole to the rabbit.

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  5. marcH

    …and with the cost of mortgages on the rise, tenants/FTB’s are going to be caught between a rock and a bigger rock…Well done Tories, the Party of homeowners and capitalism!

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  6. The_Maluka

    Great, as an unencumbered landlord I can increase my rents in line with my encumbered colleagues and make more profit.  Thanks to the exodus of many landlords and the government taking some 25% of HMO accommodation off the market, there is no shortage of tenants.  Councils are giving golden hellos to encourage landlords to house their tenants, I am beginning to feel like a Ferengi.

    Thank you Mr Osborne.

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  7. Gromit

    “……. would have unintended consequences such as rent increases……….”

    You have to ask yourself if they really are “unintended”, anybody with half a brain cell (and that even includes politicians) would foresee that the mass of tax increases and regulatory burdens would drive up rents and force Landlords to exit the market. And even those politicians which the half a brain cell who couldn’t work it out for themselves were told by just about every industry expert what the consequences would be.

    You then have to ask your self why? Could it be something to do with the large corporates (Tory party donors) entering the Build-to-Rent market, and want rents to be higher so that they can make more profit? could it be the same companies might offer lucrative non-exec Directorship to ministers when they leave office?

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    1. Eyereaderturnedposter12

      It has everything to do with corporate interests…

      There is no mistake in policy making…

      No consequences are unintended…

      Ladies and Gentleman, the PRS is being dismantled in front of your very eyes; Utilising theatrical levels of misdirection. The Govt. may be appalling politicians, but they certainly can put together a ‘show’!

       

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  8. Deltic2130

    They really are thick as planks. But guess whose fault it will be?? Not the politicians’…

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  9. CountryLass

    Huh. You know, I never saw this coming. Nope never once did it cross my mind!

    Or as my MP put it when I spoke to him and raised my concerns “Well of course rents will rise, its basic f****ng economics!”

    So not all politicians are stupid…Just the ones dealing with housing!

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  10. IWONDER36

    And with the increase in rents comes an increase in tax payable, full circle has been achieved while vilifying the Landlord and agent.

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  11. chrisdaniel

    The ” ALARM  Bells ”   should be Rang by so-called Tenants representative organisations.   Instead, they join in Landlord – bashing  OBLIVIOUS to the Landlords poor customers who are the ones NOW   affected and going to be Drastically more so some day SOON.

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