The number of London landlords leaving the buy-to-let market
is double the national average, according to figures from ARLA Propertymark
(the Association of Residential Letting Agents).
In addition to the data contained in its recent Private
Rented Sector Report, for December 2018, ARLA Propertymark questioned its
member letting agents over how many of their landlords are leaving the market.
In December last year, letting agent branches in the capital
each saw an average of six London landlords sell their properties and exit the
This compares to a national average of four per member
branch over the same period, and is double the number of landlords leaving the
market in the North East, East Midlands, West Midlands, East of England and the
South West, which all averaged three sales per ARLA Propertymark member branch.
David Cox, the Chief Executive
of ARLA Propertymark, assesses the reasons for this: “Over
the last few years, landlords across the country have been pushed out of the
market by increasing costs and legislation, and new investors have been
deterred from entering. Last month’s Private Rented Sector results show that
the issue has particularly intensified in the capital, which may be the result
of landlords starting to receive their first tax bill incorporating the
increase in taxes from the mortgage
interest relief changes, which came into
force last tax year.”
looks ahead to what effect this might have in the future: “If this trend
continues, coupled with the Mayor of London, Sadiq Khan’s, recent pledge
to introduce rent controls, it will only
serve to make the situation worse for London’s renters, as more landlords are
forced to sell up.
the supply of rental accommodation falls further, tenants will face more
competition for properties, which will push up rents on good-quality,
well-managed properties, and leave the vulnerable and low-income people, which
rent controls are designed to help, in the hands of rogue and criminal
landlords, have you sold your rental properties off recently?