Insurance News Archive
HMO landlord numbers declining
Landlord numbers investing in houses in multiple occupation (HMO) in the private rented sector have fallen, new research has revealed.
The latest quarterly review and index published by the Association of Residential Letting Agents (Arla) reveals that the HMO share of the rental sector has dropped from nine to six per cent in the last quarter.
The development, which coincides with the requirement to register properties with local authorities, could result in the loss of as many as 75,000 properties to the multiple sharer market.
Arla's review also showed that tenants were staying longer in the mainstream rental market, remaining for 17 months on average.
Adrian Turner, chief executive of Arla, said it was a recognised fact that tenants of HMOs needed to be "protected from bad landlords".
However he also explained that if legislation became over-burdensome it became a "two-edged sword".
He added: "This because it is likely that it is those landlords who are prepared to stand up and be open about their properties and the way they manage them who are leaving the market."
11 Oct 2006