Landlords deserting LHA market

Published on

Over half of landlords surveyed say they can no longer afford to rent to housing benefit tenants because of cuts to the allowance.

The survey by the National Landlords Association (NLA) showed 53% of landlords believe the local housing allowance (LHA) cuts have made it unaffordable to rent to those on benefits.

47% of landlords believe tenants aged under 35 will be hit hardest by the changes and almost 69% of landlords say they can’t see themselves letting to LHA tenants in 2015.

The LHA cuts have seen maximum rent benefit payments reduced to the 30th percentile of local average market rents, rather than the previous 50th percentile.

The age at which a tenant on benefits qualifies for any more than a single room in a shared house has also been raised from 25 to 35, forcing many more people into shared accommodation.

David Salusbury, NLA chairman, National Landlords Association, said: “It’s concerning that so many landlords appear to be planning to withdraw from the LHA market within just three years

COMMENT ON MORTGAGE SOUP

We want to hear from you!
Leave a comment and get the conversation started.
You need to register to post, so please login or sign up below.

Latest articles

Mortgage leaders urge sector to take part in ED&I survey

Senior figures from Mortgage Advice Bureau, Legal & General and Coreco have urged mortgage...

The Right Mortgage adds TAB to lender panel

The Right Mortgage & Protection Network has added specialist property finance lender TAB to...

LSL signals further profit growth as market steadies after refinancing surge

LSL Property Services has said it expects to deliver further profit growth in 2026,...

Nadine Coyle and AJ Odudu to headline Sort Ball

Sort Group has announced Nadine Coyle and AJ Odudu as the headline acts for...

Beyond the walk: Mortgage leaders talk mental health – part 14

The Mortgage Industry Mental Health Charter (MIMHC) began its third annual 144-mile Walk &...

Latest publication

Other news

Mortgage leaders urge sector to take part in ED&I survey

Senior figures from Mortgage Advice Bureau, Legal & General and Coreco have urged mortgage...

The Right Mortgage adds TAB to lender panel

The Right Mortgage & Protection Network has added specialist property finance lender TAB to...

LSL signals further profit growth as market steadies after refinancing surge

LSL Property Services has said it expects to deliver further profit growth in 2026,...