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How Croydon landlords can protect rental yields under new RRA rent review rules

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I’ve been chatting with Croydon landlords quite a bit since the Renters’ Rights Act changes came into force back in May. Plenty of them are focused on keeping their rental yields steady now that the old ways of handling rent reviews have gone out the window. If you’re a landlord here, whether you’ve got one flat or a bigger portfolio, this shift affects your bottom line. 

letting agents in Croydon see the same questions popping up all the time strong demand for properties in good spots, but suddenly the rules around increasing rent feel stricter and a bit more formal. 

So, let’s talk about what’s actually changed, why it matters for your yields, and the practical steps that help you stay on track without losing sleep.

The transition happened on 1 May 2026. Fixed-term tenancies are finished. Everything rolled over into periodic tenancies. That means no more automatic end dates. Your tenancy keeps going month to month unless you or the tenant give proper notice. 

For many landlords this feels like a bigger change on paper than it is in real life, especially if your tenants were already staying long-term. But the rent side is where people are paying closest attention.

The end of casual rent review clauses

Those clauses you used to have in agreements, the ones that let you bump the rent by a set percentage each year? They don’t work anymore. You now have to follow the formal Section 13 process under the Housing Act. 

That means using the official Form 4A, giving your tenant at least two months’ written notice, and only making the increase once every 12 months. The new rent has to be in line with what the open market would pay for a similar property in the local area. 

Push it too high and the tenant can challenge it at the First-tier Tribunal. They’ll look at evidence like recent comparable lettings, and you might end up with a lower figure than you hoped for plus some hassle. 

I’ve seen landlords in Croydon get caught out by this. One guy I know had a nice two-bed in South Norwood. He tried to push for what he thought the market could bear, but without solid recent evidence the tenant pushed back and the whole thing dragged on for weeks. Better to do your homework first.

How to prepare a realistic rent increase

Start by knowing your patch properly. Croydon has different micro markets. A family house near the parks in Shirley behaves differently from a modern flat close to East Croydon station. 

Spend time checking what similar properties actually achieved in the last few months. Look beyond the headline asking rents talk to other landlords, check recent listings that went quickly, and factor in things like transport links, schools, and local amenities. 

Properties near good schools or with easy access to London still command decent premiums. But tenants are more price-sensitive now, especially with the cost of living. A fair increase that reflects real market conditions is far more likely to stick without drama.

When you serve the notice, be clear and professional. Explain briefly why the rent is going up and perhaps remind them of any improvements you’ve made. Tenants respond better when they feel it’s reasonable rather than out of the blue.

Looking after your yield in a changed market

Yields in Croydon have always varied a lot depending on the property type and location. To protect them now, think beyond just the rent figure. 

Keep voids short. In a market with good demand, a well presented property should re-let quickly. Make sure repairs are done promptly so you’re not losing rental income while the place sits empty.

Maintenance matters more than ever. Tenants staying longer under the new periodic system means the property gets more wear. Budget for regular upkeep boilers, kitchens, bathrooms. A property that feels cared for attracts better tenants and supports higher rents when review time comes.

Energy efficiency is another quiet winner. With bills still a big concern for renters, homes with decent EPC ratings can justify slightly higher rents and appeal to a wider pool of people.

Tenant selection and relationships

This is where many experienced landlords are doubling down. With changes to how you end tenancies, getting the right people in from the start is crucial. 

Take time with referencing. Look for stable employment, good rental history, and a genuine fit for the property. A slightly lower rent with a great tenant often beats maximum rent with someone who causes stress and leaves you chasing arrears.

Once they’re in, communicate well. If you’re planning a rent review, give them plenty of notice and context. Most reasonable tenants understand that costs go up for landlords too mortgages, insurance, maintenance. A bit of empathy goes a long way.

Ending a tenancy when you really need to

Section 21 is gone. You now need valid grounds under Section 8. Common ones include serious rent arrears, antisocial behaviour, or damage to the property. There are also grounds for selling or moving family in, but some come with minimum time periods, like 12 months into the tenancy.

Know the notice periods for each ground. And be prepared to go to court, if necessary, gather your evidence early. Free advice services exist for both sides, so make sure you understand the process.

For landlords with student properties there are some specific provisions around the academic year, but again, the notice requirements are strict.

Staying organised in Croydon

The rules kicked in automatically, so even older agreements are affected. Make sure your paperwork is up to date. If any tenants never received proper written terms, sort that now.

Many landlords I speak to are reviewing their whole portfolios. They’re looking at which properties still deliver strong yields, which might need investment, and which ones perhaps aren’t worth holding long-term.

Croydon’s market still has plenty going for it improving transport connections, regeneration in certain areas, and consistent demand from families and young professionals who want more space than central London offers.

Final practical tips

  • Review your tenancies now and diarise the earliest date you can serve the next rent increase notice. 
  • Build a small spreadsheet of local comparable rents and update it every few months. 
  • Budget for potential voids or minor disputes. 
  • Keep receipts and records for any work done on the property.

It’s a more structured way of doing things, but it rewards landlords who run their portfolios professionally. The decent operators who already maintained properties well and treated tenants fairly are mostly finding their way through without major issues.

How are you getting on with your own properties since the changes? If you’re feeling unsure about a particular rent review or tenancy situation, talking it through with experienced local professionals can save a lot of time and stress. The market is still moving, and there are opportunities if you stay sharp.

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