As the UK private rented sector braces for the Renters’ Rights Act, coming into force on 1 May, letting agents are facing a year of heightened responsibility. The landscape is changing, and the research is clear: landlords are increasingly cautious about risk, income, and tenant selection — and they’re looking to agents for expertise, reassurance, and efficiency.

New research conducted for specialist lender Aldermore highlights the challenges agents and landlords alike are anticipating. Understanding these concerns and acting proactively can position letting agents as trusted partners in a sector under pressure.

Landlords Are Feeling the Pressure

A survey done by lending provider Aldermore shows that:

• 75% of landlords believe the Renters’ Rights Act will negatively affect them personally
• 84% feel the Act will harm the private rented sector more broadly
• 91% are concerned about court backlogs when it comes to evicting tenants
• 88% are worried about the 2% rise in income tax for individual landlords
• Rental yields have fallen to a five-year low
• Strong tenant demand is reported by only 61% of landlords, down 16% year-on-year

For letting agents, this data signals a few key realities: landlords will be more cautious about tenant selection, more conscious of costs, and more reliant on agents to help them navigate an increasingly complex environment.

Selectivity and Risk Are Front and Center

One of the most significant findings is that 84% of landlords feel they need to be more selective about tenants, while 72% are considering recouping losses through higher rents.

From an agent’s perspective, this creates both opportunity and responsibility:

• Landlords need trusted guidance on which tenants meet their risk criteria
• Agents must balance selectivity with speed, ensuring properties are let efficiently
• Every placement now carries higher stakes, as eviction processes may take longer and disputes can be more complicated

In short, letting agents are no longer just administrators; they are strategic partners helping landlords protect their income and reputation.

The Cost of Placing the Wrong Tenant

The Renters’ Rights Act increases the consequences of poor tenant selection. Letting the wrong tenant can lead to:

• Missed or late rent payments
• Longer disputes that are harder to resolve
• Increased administrative and legal costs
• Voids and lost income if a tenancy fails

For agents managing multiple landlords, each mistake multiplies. Efficient processes and reliable information aren’t optional; they’re essential.

Built-In Referencing: A Must-Have Tool for Letting Agents

In this environment, tenant referencing can’t be an afterthought. Agents need solutions that are fast, accurate, and fully integrated into the letting workflow.

togetha offers built-in tenant referencing as a standard function, allowing letting agents to:

• Quickly assess tenant suitability
• Present landlords with well-informed recommendations
• Reduce the risk of disputes or failed tenancies
• Keep processes streamlined, saving time across multiple properties

By embedding referencing directly into the platform, togetha helps agents deliver both confidence and efficiency, while helping landlords make informed choices from the outset.

Strengthening Landlord Relationships

The Aldermore research also emphasises the importance of open dialogue and ongoing assessment as the Renters’ Rights Act comes into effect. Letting agents who can provide clarity, accurate data, and proactive recommendations will stand out as trusted advisors.

With the right tools, agents can help landlords:

• Protect rental income
• Reduce portfolio risk
• Maintain strong relationships with tenants
• Navigate regulatory change with confidence

In a market where landlords are anxious and margins are tighter, agents who offer data-driven, compliant, and proactive solutions will not only retain clients but also grow their business.

Preparing for May 1 and Beyond

The Renters’ Rights Act is a confirmed change, and agents who act now will be in the strongest position to support landlords. Preparation isn’t just about compliance, it’s about risk mitigation, tenant selection, and portfolio performance.

Letting agents have the unique advantage of technology to streamline this preparation. By integrating referencing and management tools, agents can reduce uncertainty, improve outcomes for landlords, and maintain speed in a tighter market.

See togetha in Action

For letting agents managing multiple landlords and properties, the pressure of rising costs, stricter regulation, and increased risk is real, but it’s also manageable with the right tools.

togetha is a modern, intuitive, and tech-forward property management platform built to support letting agents and landlords alike. With built-in tenant referencing, togetha helps you place the right tenants from day one, reducing risk and saving time across every property in your portfolio.

See togetha in action and discover how built-in referencing can strengthen landlord relationships and improve tenant placement success.