The proportion of ‘accidental’ landlords has dropped year-on-year for the first time since 2014, fresh analysis shows.
One in 14, or 7.1%, of properties coming on to the rental market across Britain this year so far had been listed for sale within the previous six months, according to estimates from Hamptons International.
Hamptons said a slowing sales market has triggered some property owners to let their property instead of selling – meaning they become ‘accidental’ landlords.
But the proportion of homes let by ‘accidental’ landlords has fallen by 8.6% since 2018, and that is likely to be due to recent tax and regulatory changes in the PRS, with some facing increased bills.
Hamptons International said the highest number of ‘accidental’ landlords can be found in London.
So far this year, 10.1% of homes listed to rent in the capital had been up for sale during the previous six months, although this is down from 12.6% in 2018.
Aneisha Beveridge, head of research at Hamptons International, commented: “Despite a weaker sales market, which tends to encourage accidental landlords, the proportion of homes to let having previously been listed for sale has fallen for the first time in five years.”
Rental growth remains steady in Great Britain, with the average cost of a newly-let property rising 1.8% year on year, according to Hamptons Internatioal.
Beveridge continued: “Lower stock levels mean that the South continues to drive rental growth.”
Percentages of properties let by “accidental” landlords in 2019 so far:
– London, 10.1%
– Wales, 8.0%
– North East, 7.8%
– North West, 7.6%
– East of England, 6.2%
– South East, 6.0%
– South West, 5.8%
– West Midlands, 5.6%
– Scotland, 5.4%
– East Midlands, 5.3%
– Yorkshire and the Humber, 5.1%
Source: Hamptons International