Regulations and amendments are the main stories of this month.
The Renters’ Rights Bill nears Royal Assent, and the Build-to-Rent sector is seeing massive investment.
PRS expert and Goodlord CEO, William Reeve, said:
“Price rises continue to be significant. But the softening of year-on-year increases we’ve seen in recent months could indicate a slight easing of the demand and supply imbalances in some regions.”
Renters’ Rights Bill Lords committee stage concludes
Following committee sessions in the House of Lords in April and May, the Renters’ Rights Bill is edging closer towards its conclusion. Here are 7 key takeaways from the sessions:
- The government declined all 339 amendments proposed by the Lords.
- The Regulation of Property Agents (RoPA) is back on the agenda, but won’t be included in the RRB.
- Some Lords have called for a limit to the widespread use of guarantors to protect low-income renters. The government has rejected these calls.
- Peers asked to clarify issues regarding pets. The Government stated that permission to keep pets will be binding once granted by landlords, unless it becomes an anti-social issue.
- There will be no significant court reform before the abolition of Section 21. Digitisation of the court system will be the government’s focus.
- There will be no extension of Ground 4A to smaller student properties (one to two bedrooms).
- Reviews of rent increase challenges before they reach the tribunal stage may be considered.
The government is yet to confirm a date for the report stage, which is next up in the Lords. Here, Peers will have another opportunity to discuss amendments – we’ll keep you posted on any developments.
The UK Build-to-Rent sector gets record £823M investment
The first quarter of the year saw record levels of investment in the Build-to-Rent (BTR) sector.
According to the Property Inspect’s latest findings, £823M has been invested in BTR, prompting a surge in interest.
This represents a 49.9% increase since Q1 2024, when £555M of investment was recorded. There has been an average annual investment of £5 billion.
While this investment could lead to more available housing, BTR properties are generally more expensive that traditional flats. This means private landlords and low-income tenants might be priced out.