A new law has 27% of England’s landlords selling up
Key Points
- 27% of England's landlords are leaving the rental market, SpareRoom found.
- 78% of landlords have no confidence in the post-Act rental market.
- 53% of landlords with five or more properties are reducing portfolios.
- 44% of single-property landlords are exiting the market altogether.
- Room rents have hit record highs in most UK regions since May.
More than a quarter (27%) of England’s landlords are leaving the rental market altogether, according to flatshare site SpareRoom.
SpareRoom surveyed 668 landlords with most of their rental properties in England in September 2026 and found 78% have no confidence in the current rental market.
The survey lands as the Renters’ Rights Act nears six months in force, after it brought sweeping reforms for tenants in May 2026.
Since the Act took effect, room rents have hit record highs in most UK regions and rental supply has entered negative growth, the firm said.
Fewer than 4% of landlords are expanding their portfolios, while 36% are actively reducing them.
Large landlords with five or more buy-to-let properties are cutting back the hardest, with 53% of this group reducing their portfolios.
Single-property landlords are the most likely to quit, with 44% of them leaving the rental market altogether.
SpareRoom’s survey broke down landlord plans by portfolio size as follows:
- Single property (127 respondents): 79% have no confidence, 2% are expanding, 9% are reducing, 44% are leaving and 46% plan no changes
- One to four properties (427 respondents): 78% have no confidence, 4% are expanding, 27% are reducing, 31% are leaving and 40% plan no changes
- Five or more properties (241 respondents): 78% have no confidence, 4% are expanding, 53% are reducing, 22% are leaving and 29% plan no changes
“It’s still early days for a change that’s supposed to offer a generational shift in behaviour. But for all the good it has done tenants so far – and the end of no-fault evictions and bidding wars has been positive – the Renters’ Rights Act has also battered supply and forced up asking rents,” said Matt Hutchinson, director at SpareRoom.
“It’s unlikely this will be resolved any time soon because landlords are still reacting to the changed landscape. Some have told us that while they’re not selling up right now, they don’t plan to re-let when their current tenants leave,” Hutchinson said.
“While landlords have the option to walk away and invest their money elsewhere, tenants don’t. They’re now facing the fallout of a private rented sector that’s deterring those who provide homes,” he added.
