21% of Landlords Plan Portfolio Reductions by 2025

A recent survey by Octane Capital indicates that while the narrative of a landlord exodus from the private rental sector may be exaggerated, about 21% of landlords plan to reduce their investment portfolios over the next year. The survey revealed that 90% of landlords have kept their portfolios unchanged, with only 7% reducing their size in the past year. The main reason cited for the anticipated reductions is the incoming Renters’ Rights Bill, which aims to abolish Section 21 'no fault evictions' and impose other restrictions. The appointment of the Labour government and approaching retirement were also noted as factors influencing landlords' decisions. Octane Capital's CEO, Jonathan Samuels, emphasized the need to balance tenant welfare improvements with the impact of legislative changes on the rental market. He warned that if the trend of deterring landlords continues, it could exacerbate the existing housing supply crisis.