The NLA’s latest landlord panel found that over half of tenancies (54%) lasted either two or three years, with a further 32% of landlords having tenants remain in a property for over four years.
The association said that landlords were now more able to provide long-term rentals for clients, offering flexibility that house ownership is unable to match.
However, landlords remain worried about tenant arrears, with nearly half of landlords having suffered with late or non-paying tenants in the past year. In addition, 37% are worried about arrears affecting their business in the coming months. The survey also found that the average void between tenancies lasts 69 days.
Access to finance continues to be a problem for investors, with a third of landlords surveyed eager to expand their property portfolio but unable to do so because of the difficulties obtaining finance.
However, 12% of landlords have added to their portfolio in the last quarter, up 2% on the previous three-month period.
David Salusbury, chairman of the NLA, commented: “Longer tenancies and a lower turnover rate are both signs of much-needed stability for both landlords and tenants in tough economic conditions.
“We recognise that the private-rented sector is evolving and it now accounts for 17% of the UK’s housing stock.
“Private landlords are a key part of the investment mix required to meet the rising need for more flexible forms of housing at a time when demand for rented accommodation far outstrips supply.”
