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Survey shows over a quarter of landlords evicting tenants are doing so to sell up
This article is an external press release originally published on the Landlord News website, which has now been migrated to the Just Landlords blog.
26% of landlords who issued a Section 21 notice to evict their tenants in the last 12 months did so because they plan to sell their property, research from Landlord Action shows.
Similarly, 24% of those who plan to evict tenants in the next 12-18 months say they will do so because the increasing legislative burden means they have decided to sell.
These results came from the housing law specialist’s survey of 1,537 landlords.
34% responded that they had served a Section 21 notice in the last 12 months. The most common reasons given were rent arrears (31%), landlords selling their property (26%) and anti-social behaviour (22%). Just 2% said it was in order to move back in.
28% of landlords said they planned to issue a Section 21 notice of eviction to their tenants in the next 12-18 months, before the Renters Reform Bill abolishes this method. A further 28% stated they were not yet sure. 42% said the reason for this is based on concerns that they will be unable to gain possession easily in the future. 24% said increasing legislation is driving their decision to sell up. Just 10% of landlords stated that it was because their tenants are already in rent arrears, 6% are currently experiencing anti-social behaviour, and 2% of landlords said they wish to move back into the property.
Paul Shamplina, founder of Landlord Action, comments: “The response to our latest survey paints a very clear picture of the unintended consequences of abolishing Section 21. More than a quarter of tenants who have or will be asked to leave their rental properties (via receipt of a Section 21 notice), are in such a position not because they have done anything wrong but because landlords fear they will be unable to gain possession of their property easily in the future, if their circumstances change.
“Competition for rental properties is already at an all-time high, and we could be heading towards a rental stock crisis. It has been reported that in some parts of London, for example, tenants are offering up to a year’s rent in advance. But for most, this simply isn’t feasible.
“Whilst we don’t know how many of the properties sold will remain in the buy to let sector, it’s clear that tenants will ultimately suffer as the combination of pressures forces rents to continue to rise.
“Landlords need reassurance and clarity on the future of evictions soon if the sector is to avoid a deluge of evictions and homelessness.”
