New tenancy freedoms students like could leave homes empty, landlords warn, pushing rents higher

Students gain room to move

After completing his first year at the University of Exeter, Eddie Lever decided the course was not right for him. He was able to leave his tenancy more easily, but because it was a joint agreement, his departure ended the tenancy for the entire house.

Lever said being locked into a full-term contract could be financially restrictive if someone fell out with housemates or decided university was not for them. He acknowledged that his housemates would have faced more difficulty if nobody had been available to take his room.

Rules differ by accommodation

The change mainly affects students renting from private landlords. University-owned halls and purpose-built student accommodation are exempt and may still offer fixed-term contracts.

Landlords weigh the risks

Chris Norris, chief policy officer at the National Residential Landlords Association, said the main concern for student landlords was tenants leaving earlier. He said student houses might remain empty over the summer after courses finish, or become vacant sooner.

Norris said it was early in the life of the legislation and many landlords were treating this year as a test. He said some might sell their properties or stop renting to students, reducing supply and pushing prices up.

A landlord changes dates

Sue Lawes, who rents three shared houses to students in Norwich, is concerned about the changes. She has moved the start of her tenancy agreements forward from September to August to reduce the risks.

Lawes argued that higher monthly rents would raise students' upfront costs and increase the total cost for those who continue renting over the summer. She wants landlords to be allowed to offer fixed-term contracts aligned with the academic year to prevent homes being left empty in summer.