Real Estate

Landlords in limbo as homes shortage makes renters stay put

Landlords are struggling to get tenants to move out because of a chronic shortage of available properties to rent.

As well as coping with tenants building up rent arrears during the pandemic and the resulting protracted eviction process, landlords around the UK report that some are now ignoring eviction notices and having to be forcibly removed because they can’t find anywhere suitable. Rising house prices – preventing potential home buyers from moving on – and the fact some landlords are selling up have both contributed to the problem.

Landlords in limbo

An article in The Telegraph quotes letting agents and landlords who explain how they’ve even offered to help tenants move or how a refusal to quit has put their property sale at risk, leaving the landlord in limbo.

Portsmouth & District Private Landlords Association chair, Martin Silman, tells LandlordZONE that some members with private sector tenants have been told by their local authority not to move until they absolutely have to do so, after being served a Section 21 by their landlord. He adds: “Sadly this is not uncommon and further evidence of the immense shortage of rental accommodation in the area.”

Chronic shortage

The NRLA has been warning the government for some time about the problems tenants are facing because of a chronic lack of private rented housing to meet demand. “Action is needed to address this, including reversing some of the tax changes on the sector,” a spokesperson says. “This should include scrapping the stamp duty levy on additional properties. It is crazy to be taxing the supply of new homes.”

However, there is less evidence of the phenomenon in other parts of the UK, such as the East Midlands where EMPO’s Giles Inman says it has not heard reports about the issue. He adds: “We are dealing with lots of requests for advice and guidance around the possession process, however the main reasons for possession are around tenant behaviour, rent arrears and landlords selling up.”

Source
Landlords in limbo as homes shortage makes renters stay put is written by Helen Gregory for www.landlordzone.co.uk

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