Fall in rental stock

April 3rd 2018
By: Melanie Hollidge
Fall in rental stock

A recent Private Rented Sector Report has indicated that the supply of rental stock has fallen to a 21 month low. The number of rental homes available for tenants fell in February. At the heart of this fall is the supply of rental stock. The number of rental properties letting agents managed fell by 5 percent in February, with 175 on average per branch compared to 184 in January. The supply of private rented sector property has not been this low since May 2016, when it stood at 171. 

Landlords have had a bit of a hard time recently with many changes to accommodate. The figures may well reflect the fact that the minimum energy efficiency standards come into effect in April. This will mean that all rental properties must be EPC rated E or above.  The dip in supply some say indicates that landlords are cutting it fine and taking their properties off the market to make the necessary changes before the deadline.

The regulations will come into force for new lets and renewals of tenancies with effect from 1st April 2018 and for all existing tenancies on 1st April 2020. It will be unlawful to rent a property which breaches the requirement for a minimum E rating unless there is an applicable exemption. A civil penalty of up to £4,000 will be imposed for breaches.

Some are concerned that up to 300,000 properties could be taken out of the private rented sector market after the deadline passes on Sunday because they don’t reach the minimum requirements. If you are a local landlord and want to help alleviate this supply crisis now is the time to act and upgrade your property or properties to help rental stock supply.

If you would like any help and advice on how to upgrade your property or to organise a desktop review or Green Deal Assessment and need to talk to a property professional then why not get in touch with your local expert Goodfellows Property Management.