A recent survey conducted by PropTech company Goodlord, involving 100 letting agents, indicates a significant majority anticipate further intensification of current pressures on landlords in the second half of the year. Factors such as rising mortgage rates and expanding regulations are contributing to their concerns, with 70% of agents believing that these pressures will increase.
Among the remaining agents, 28% expect pressures to remain unchanged, while only 2% anticipate a relief in pressures for the rest of 2023.
Costas Frangeskou, spokesperson for Goodlord, acknowledges the complexity of challenges landlords are currently experiencing. While letting agents strive to alleviate some pressures, the survey indicates that the majority foresees a worsening situation before any improvement.
Frangeskou highlights the importance of immediate government intervention to address the mounting pressures in the Private Rental Sector (PRS), despite the recent inflation figures offering a glimmer of hope.
The survey results reveal the sentiments prevailing in the rental market, where landlords grapple with an increasingly complex landscape. Rising mortgage rates strain property owners, while expanding regulations add administrative burdens and compliance challenges.
Letting agents are playing a crucial role in assisting landlords, striving to streamline processes and reduce friction. However, survey findings suggest their efforts may not fully counteract the broader sectoral trends.
Amidst hopeful economic recovery signaled by recent inflation figures, most agents stress the urgency of government intervention to address mounting pressures in the Private Rental Sector (PRS). Policymakers must consider effective measures to ease landlord burdens and ensure rental market stability.
Landlords and letting agents alike seek clarity and stability in the regulatory environment. Clear, consistent policies enable informed decisions, navigating the changing landscape, and ensuring quality rental properties for tenants.
The private rental sector faces a critical juncture, necessitating immediate action to bolster landlord confidence. A collaborative effort involving the government, industry stakeholders, and rental market participants is imperative to foster sustainable solutions and support sectoral stability and growth.
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