Will Accidental Landlords Make the Private Rental Sector Unstable?

12 January 2012 Categories: News

A recent survey conducted by ARLA on its member agents has shown that the number reporting an increase in ‘ accidental landlords ’ has risen for the second year running. In January 2011 40% of the members surveyed said they had experienced an increase in the number of homeowners turning to letting their property because they couldn’t realise the price they wanted on the property market. This year however 47% of members reported an increase in unplanned lettings.

While this news may bode well for tenants in the short term it could spell upset and upheaval for many in the long term. Everyone knows that the UK is currently experiencing a shortage of good quality private rental properties and as such many tenants are finding they have to apply for several before they get lucky. An influx of unplanned lettings by accidental landlords is at the present time most welcome, but what about when the property market recovers and accidental landlords return to the idea of selling?

Thousands of tenants could find themselves with a two month eviction notice and another search for a decent rental property if, in the future, accidental landlords go back to the idea of selling their property as they originally intended. Admittedly the property market would need to recover quite dramatically for all accidental landlords to return to the selling market, but it is a possibility and one that could make the private rental sector unstable for both landlords and tenants alike.