The transition from fixed-term tenancies to periodic may scale back revenues for brokers by 1 / 4, analysis from Goodlord has discovered.
Brokers say 1 / 4 (27%) of their income comes from renewals, whereas for London this rises to 37%, the State of the Lettings Business report reveals.
William Reeve, chief government at Goodlord, stated: “The sector is beneath large strain on all fronts – tenants, landlords and brokers alike are feeling the pressure, with extra modifications and uncertainty nonetheless to return.
“This can be a resilient sector that’s used to weathering storms, however the strain appears to be growing fairly than abating.
“We hope these insights and full report shine a lightweight on these areas and assist resolution makers take the required steps to make sure the PRS stays wholesome, thriving and supported.”
Attracting landlords is the precedence for 70% of brokers, whereas 61% stated they’re prioritising new methods of producing income.
Power effectivity guidelines proceed to concern landlords, as 63% of landlords stated they understand the proposed EPC Band C goal negatively, with many unwilling or unable to satisfy the required funding.
Almost half (45%) say they’d spend not more than £2,000 per property, and solely 19% would go above £5,000 – far in need of the proposed £15,000 cap, forward of the 2028 deadline for compliance.
Some 39% of landlords saying they’d fairly promote than put money into the required vitality effectivity upgrades.
