New research, commissioned by the National Residential Landlords Association (NRLA) and undertaken by BVA-BDRC, paints a stark picture of the current property landscape in England and Wales. The research, focusing on the second quarter of the year, highlights that 12% of landlords sold properties, while only 5% made acquisitions.

A significant revelation from the study is that 37% of landlords intend to reduce their lettings in the forthcoming year. This signifies that a record number of landlords are looking to shrink their portfolios. On the other hand, only a scant 8% of landlords are keen on expanding their holdings.

The NRLA, along with numerous other entities in the private rental arena, opines that this trend is problematic. With a rising appetite for rental properties, this reduction in available rentals implies prospective tenants might find it even more challenging to secure affordable homes.

Ben Beadle, NRLA’s Chief Executive, emphasises the necessity for governmental intervention. He strongly advocates for the reconsideration of certain tax alterations which “deliberately seek to deter landlords from investing in desperately needed private rented accommodation”. Beadle pointed out contentious changes like the 3% stamp duty on rental assets and the curtailment of mortgage interest relief.

He remarked, “While the Chancellor has developed a mortgage charter to help homeowners, the lack of assistance for renters and their landlords is clear for all to see.

Households renting privately are facing the full force of the supply crisis, and change is needed now to prevent the situation from worsening over the next twelve months.”