The rental market has shifted dramatically since 2020, with national rents now over a third higher than pre-pandemic levels. Yet the era of rapid increases is fading. In many areas, growth has dropped to low single digits as supply rises and tenant demand cools, and with the Renters’ Rights Act expected to take effect from May 2026, landlords will only be able to increase rent once a year, using the formal Section 13 process.
In a world where increases are smaller, precision matters more than ever. A rent that’s even slightly mis-set can mean unnecessary arrears risk, tenant churn, or weeks of void time.
So how do you build a rent review that’s fair, defendable and still protects your return?
Related: Budget 2025 and the property market: What landlords and homeowners should know
1. Building a defendable rent review: Evidence beats instinct
When the market was rising at 7–10% a year, landlords could lean on broad national trends and still land close to the right number. That’s not the case now. Today, growth is uneven. Some towns are still seeing strong upward pressure; others have plateaued, and a few are softening. Even Rightmove shows annual increases slowing to the lowest levels since 2020. That means a solid rent review needs local, specific evidence, not assumptions.
A defendable rent review brings together:
- Local comparables that genuinely mirror your property on location, size, condition, furnishings and key features.
- Market trend context from credible sources like portal indices, ONS rent inflation and local supply and demand changes.
- Tenant demand indicators to reflect that demand has eased from 2022–24 highs, but is still strong in many areas, creating a two-speed market.
- A clear written record of comparables, data sources, property-specific factors and the decision date, so the review stays fair, transparent and defendable if challenged.
2. Why landlords can’t rely on “gut feel” or headlines
Landlords often have good instincts about their assets, and that is valuable. But instinct becomes risky when market signals are mixed, especially after years of steep rent rises and with more scrutiny on fairness and affordability.
-
National averages hide local reality. Headlines might say rents are still rising, but your micro-market could be outperforming or lagging behind the national trend.
-
Tenants are more price-sensitive now. Affordability is tighter than five years ago, so tenants are quicker to negotiate or question increases.
-
Mispricing is showing up fast. Around 24% of listings saw reductions in 2025, a clear sign that “try high and adjust later” can backfire.
-
Overpricing leads to longer marketing time, void periods, eventual reductions, and lost income you cannot recoup.
-
Underpricing leads to suppressed yields, money left on the table each month, and a lower baseline for the next review.
Related: How to make money from property: a landlord’s guide
3. Rent setting in the new Renters’ Rights Act era
Setting the advertised rent now needs precision upfront, because from 1 May 2026 landlords must stick to the listed price with no bidding above it, can increase rent only once a year, and any rise has to be backed by local market evidence if challenged.
- No offers above asking.
- One increase per year only.
- Increases must reflect local market rent.
- So the list price has to be right first time.
4. Martin & Co’s data-led rent review pack
Rightmove research shows agent-managed landlords are 15% more likely to review rents annually and 9% less likely to face arrears, underlining how structured management protects both yield and stability. Martin & Co supports every landlord, whether you own one property or many, with an evidence-led rent review pack combining real-time local demand and pricing data, close comparables, tenant affordability insights and clear reporting that can be shared with tenants. This removes uncertainty from the process and creates a solid paper trail if a rent is challenged, keeping your rent aligned to real local conditions rather than rough averages.
Related: Top 10 benefits of professional property management for landlords
Protecting your rental income in 2026
The Renters’ Rights Act is rolling out in phases, with the first change on 27 December 2025 giving local councils stronger investigatory and enforcement powers, and the core rent rules following in 2026. In practice, that makes evidence-led pricing and regular annual reviews the safest way to protect income without triggering voids or disputes. For a clear, local view of what your property should achieve, speak to your nearest Martin & Co branch for a compliant rent review pack and tailored support.