The Growing Importance of Responsible Property Management
Across the rental sector, we’re all hearing murmurings of concern about what the Renters’ Reform Bill might mean for landlords. Much of the discussion is filled with doom and gloom—often unnecessarily so.
Despite these worries, recent figures show that buy-to-let landlords are here to stay. As of the end of 2024, buy-to-let loans had increased by 39%, while rental yields rose from 6.74% to 7% compared to the same period the previous year.
The market remains buoyant but with increasing administrative burdens and financial penalties, independent landlords may be feeling the need to buckle up.
Tougher Penalties and Greater Enforcement
The Renters’ Reform Bill, alongside a broader push for greater regulation, signals a shift: sub-standard property management will no longer be financially viable. The UK housing market is no passive income, “get-rich-quick” scheme. This will become increasingly evident as significant penalties for non-compliance come into force, backed by huge increases funding to local councils to ensure the expansive new rules are enforced.
The penalties for non-compliance are substantial—fines of up to £7,000 for initial breaches and as much as £40,000 for repeat offences. Guidelines are expected to push decision-makers toward the higher end of these scales. Meanwhile, reforms to Rent Repayment Orders could allow tenants to claim back up to 24 months’ worth of rent, up from the current 12 months.
Stories of poor-quality homes slipping through the cracks are all too common due to overstretched local authorities, who are too inundated to properly investigate the vast amounts of complaints they receive. This has been incredibly frustrating for landlords who already invest heavily in maintaining high standards. That’s about to change. Central government is set to provide significant funding to local councils to ensure they meet their new enforcement duties. Certain councils will receive additional support to become model authorities for others to emulate.
The Upside: Stronger Relationships, Better Homes
The reforms introduced by the Renters’ Reform Bill are undoubtedly positive for tenants—and they can be for landlords too. With better enforcement and clearer standards, relationships between landlords and tenants can improve. However, there’s no denying that the administrative burden will increase significantly, as will the penalties for failing to keep up.
You’d be forgiven for feeling like independent landlords are under siege. Government policy is increasingly making compliance more and more demanding, with growing consequences for falling short. Some commentators suggest there’s a growing market preference for institutional landlords— with the overheads capable of swallowing risk and lower tendencies of “rogue landlord” behaviour which is rare but does tend to make the headlines.
At Good Place Lettings, we deeply value the role of smaller-scale landlords in solving the housing crisis. That’s why it’s vital to understand how these changes will affect this essential part of the sector.
Why Responsible Management Matters More Than Ever
A responsible approach to property management is now critical—not only to manage risk but to maximise your investment.
Ethical, in-depth tenant referencing is now an absolute must. Outsourcing to a third party that simply scans credit ratings and bank balances is not enough. We believe in getting to know prospective tenants through meaningful conversations and thorough background checks. This fosters stronger landlord-tenant relationships, leading to smoother tenancies and fewer disputes.
Failing to properly understand specific local licensing requirements can cost landlords tens of thousands in lost rental income or fines. Many councils have detailed standards that apply to internal elements of the property—standards that must be met to let legally.
At Good Place Lettings, we want every landlord to feel proud to be letting fantastic homes, but delivering high-quality, legally compliant lettings is becoming more difficult without the support of a responsible agent. Solo management is increasingly risky.
Why Work with Us
We want to give landlords the feel-good factor. With Good Place Lettings, you’ll now have the knowledge you’re providing a great home for happy tenants —and for an added bonus, as a Social Enterprise your management fee is reinvested into helping low-income households secure quality housing.
If you're concerned about keeping up with the new regulations and avoiding costly penalties, we’d love to speak with you. Let’s talk about how we can support you in staying compliant, profitable, and proud of the homes you let.
