More than 500 rental properties a day are leaving the private rented sector (PRS) in 2026, according to new analysis from property data firm TwentyEA. The firm estimates that 505 rental homes per day have left the sector so far this year, a rate more than three times the level recorded in 2020.
Landlord sales remain elevated
TwentyEA's figures cover the whole of the UK, although the Renters' Rights Act reforms referenced in its analysis apply only to England. Landlord sales remain elevated despite the first phase of the Act taking effect on 1 May, which abolished Section 21 evictions, introduced a new tenancy system, and brought in restrictions on rental bidding, among other changes.
TwentyEA estimates that 111,696 homes left the PRS through landlord sales in 2024, rising to around 181,000 in 2025. The firm had previously identified signs that the rate of landlord exits was easing. In January, former rental properties accounted for 10.4% of homes listed for sale, according to its data.
Stock down 18.6% nationally
TwentyEA now estimates that 834,800 properties have left the PRS since the start of the decade, meaning the sector has lost 18.6% of its rental stock nationally. In London, the figure stands at 14.2%.
The figures do not establish that the Renters' Rights Act caused landlords to sell. Instead, TwentyEA points to several pressures on landlord returns, including taxation, mortgage costs, regulation and forthcoming energy-efficiency requirements.
Further regulatory changes ahead
The government plans to start the regional rollout of its mandatory PRS Database from late 2026, with landlords required to register and pay an annual fee, although the amount has yet to be confirmed. The mandatory Landlord Ombudsman is expected to follow in 2028.
From April 2027, landlords will face separate property income tax rates of 22%, 42% and 47%. Privately rented homes will also have to meet higher energy-efficiency standards by 1 October 2030, unless an exemption applies. Landlords may need to spend up to £10,000 per property on qualifying improvements, with the government's impact assessment estimating average expenditure of £5,400 for properties below the required standard.
From April 2028, owners of higher-value rental properties in England could face another cost under the High Value Council Tax Surcharge, which will apply to residential properties worth £2m or more under current proposals. Annual charges will range from £2,500 to £7,500, and the property owner, rather than the occupier, will pay the surcharge.
Landlord intentions and rental supply
TwentyEA argues that the combined impact of higher costs and tighter regulation could encourage more landlords to sell. Its analysis also cites separate research from Allsop, in which 42% of surveyed landlords said they were unlikely or very unlikely to continue letting, rising to 52% among single-property landlords. Meanwhile, 30% said they intended to sell all their rental properties.
The latest TwentyEA figures will add to the debate around rental supply, with the question being whether continuing landlord exits will further constrain stock as the sector adjusts to the new regulatory regime.
