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5 costly mistakes landlords make and how to avoid them

Landlords are facing one of the most significant regulatory shake-ups in decades, bringing increased risk if you get things wrong. Here’s how to sidestep common mistakes and stay ahead of the regulatory curve.

Words by: Zoopla Lettings Advisory Board

Being a landlord today is not what it was ten - or even five - years ago. The regulatory landscape has become more complex, tenant expectations are higher than ever and the financial risks of getting things wrong have increased significantly.

Yet many landlords, whether self-managing or working with the wrong agent, continue to fall into the same traps. These mistakes can cost time, money and even your ability to regain possession of your property.

Here are five of the most common pitfalls we see and how a great letting agent can help you sidestep them entirely.

1. Falling behind on compliance in an era of reform

Landlords are navigating one of the most significant regulatory shake-ups in decades. 

The Renters Rights Bill will abolish Section 21 evictions - making legal compliance not just important, but essential for protecting your ability to regain possession through legitimate grounds.

What’s more, other stakes are rising too:

A great letting agent doesn’t just help you tick boxes - they stay ahead of the regulatory curve. They maintain airtight records, manage renewals and inspections, and keep you informed on upcoming obligations so you don’t get caught out when the rules change.

2. Skipping robust tenant referencing

A rushed tenancy can quickly become a costly one. Robust referencing is not just about credit scores - it’s a multi-layered process designed to assess a tenant’s reliability, risk and long-term suitability.

True due diligence includes:

  • Affordability checks, based on income vs rent ratios.

  • Credit history, including CCJs, defaults, and payment patterns.

  • Employer references confirming stable and ongoing employment.

  • Landlord references verifying past behaviour, payment history, and property condition.

  • Identity and fraud checks to confirm legitimacy.

  • Where appropriate, guarantor vetting and documentation.

Cutting corners here risks arrears, evictions and damage - not to mention stress.

Experienced agents use specialist referencing providers and ensure each application is rigorously assessed before any tenancy agreement is signed. Many also offer insurance-backed rent guarantees, giving you an added layer of protection.

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A great letting agent will help you navigate regulations, ensure tenant satisfaction and achieve long-term investment success.

3. Neglecting repairs and preventative maintenance

It’s easy to delay maintenance in the short term - but this often leads to higher costs and legal issues later. In today’s climate, that can be dangerous.

The introduction of Awaab’s Law, along with the revised HHSRS and Decent Homes Standard, means landlords now have a legal responsibility to act quickly and transparently on disrepair, particularly on damp, mould and hazards affecting tenant health.

That means you must:

  • Act swiftly on tenant-reported issues

  • Keep detailed logs of communication, inspections and remedial action

  • Maintain proof of resolution timelines, especially for hazards

  • Use qualified, insured contractors—and track warranties and follow-ups.

Missing any of these steps risks not only financial penalties, but also reputational damage as a landlord.

Top-tier agents have structured workflows to manage and escalate maintenance issues efficiently. They keep digital records, proactively schedule inspections, and work only with vetted, reliable contractors. This isn’t just good management, it’s legal protection.

4. Overlooking proper insurance cover

A surprisingly common oversight among landlords is underinsurance - or worse, assuming a standard home policy is enough.

In reality, landlords need specialist cover for:

  • Buildings & contents, tailored to rental properties.

  • Public liability, in case of injury or damage

  • Legal expenses cover for disputes and possession claims

  • Rent guarantee insurance - particularly useful in today’s economic climate

  • Loss of rent due to major incidents or voids caused by damage.

Professional agents work with trusted insurance providers to ensure you have comprehensive protection. They’ll also flag when your cover might be inadequate for your property type, tenancy model or legislative changes.

5. Choosing the wrong agent - or going it alone

Not all letting agents are created equal. Many landlords assume the role of an agent is simply to find tenants and collect rent. 

But a truly great agent is a strategic partner, who will:

  • Navigate compliance and mitigate legal risks

  • Ensure tenant satisfaction and tenancy longevity

  • Minimise void periods through smart marketing and onboarding

  • Deliver long-term asset performance and portfolio insight.

How to spot the right letting agent for you

The key things to look for when finding a letting agent are:

  • Membership of Propertymark, Safeagent, or similar

  • Client Money Protection and transparent fee structures

  • Investment in tech platforms for transparency and efficiency

  • A strong reputation, backed by reviews and industry recognition.

Final thoughts

The UK rental sector is evolving fast and the margin for error is shrinking. Whether you’re an accidental landlord or have a growing portfolio, it’s time to treat your rental properties like a professional business.

Avoiding these five common mistakes isn’t just about protecting income. It’s about delivering a better experience for tenants, protecting your reputation and positioning yourself for long-term success.

And the best part? You don’t have to do it alone. The right letting agent can handle the heavy lifting, giving you confidence, compliance and clarity every step of the way.

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Authored by Kristjan Byfield, co-founder of award-winning agency Base Property Specialists and tenancy automation platform The Depositary; and Carrie Alliston is Director at Barbon Insurance and former Group Lettings Director at Hunters.


We try to make sure that the information here is accurate at the time of publishing. But the property market moves fast and some information may now be out of date. Zoopla Property Group accepts no responsibility or liability for any decisions you make based on the information provided.