Renters Reform Act: Why Some Landlords Are Exiting – And What It Means for the Property Market

The UK rental market is undergoing its biggest shift in decades. With the Renters Reform Act continuing to reshape the private rented sector, many landlords are now reviewing their portfolios — and some are choosing to exit altogether.

At Lawrence Rand Estate Agents, we work closely with landlords and tenants every day. We’re seeing first-hand how legislative change, rising costs, and increased regulation are influencing landlord decisions and impacting the wider housing market.

What Is the Renters Reform Act?

The Renters Reform Act is designed to improve standards and security for tenants. Key proposals include:

The abolition of Section 21 “no-fault” evictions

Stronger grounds for possession under Section 8

The introduction of a Decent Homes Standard for private rentals

New rules around rent increases

A new Property Ombudsman and landlord database

While the intention is to create a fairer system, the reality is that compliance is becoming more complex and costly for landlords.

Why Are Landlords Exiting the Market?

Many landlords are not opposed to regulation — but the cumulative impact of changes is pushing some to sell.

Common reasons we hear include:

Reduced flexibility when dealing with problem tenancies

Increased legal and compliance costs

Higher mortgage rates and taxation pressures

Uncertainty around possession timelines

Concerns over risk versus reward

For some, the numbers simply no longer stack up.

The Impact on Renters and the Wider Market

As landlords leave the market, rental supply is shrinking. Demand, however, remains high. This imbalance is leading to:

Increased competition for rental properties

Rising rents in many areas

Longer search times for tenants

Greater pressure on local housing availability

Ironically, fewer rental homes can make the market more challenging for the very tenants the legislation aims to protect.

What Should Landlords Do Now?

Not every landlord needs to exit. In fact, well-advised landlords with the right strategy can still achieve strong returns.

At Lawrence Rand, we help landlords:

Understand the true impact of the Renters Reform Act

Review portfolio performance and future viability

Navigate compliance confidently

Decide whether to hold, restructure, or sell

Maximise rental income while minimising risk

The key is informed decision-making, not reaction.

Expert Advice Matters More Than Ever

The rental market is no longer passive. Legislation, finance, and tenant expectations all play a bigger role than ever before.

Whether you’re a first-time landlord, a seasoned investor, or considering exiting the market, expert local advice is essential.

Lawrence Rand: Supporting Landlords Through Change

At Lawrence Rand Estate Agents, we believe in straight-talking advice backed by deep local knowledge. We don’t push landlords in one direction — we help you make the right decision for your circumstances.

If you’re unsure how the Renters Reform Act affects you, or you’re considering selling a rental property, our team is here to help.