That influence far outweighs other commonly assumed drivers of stability. Only 50% cited feeling settled in the local area, 45% pointed to personal-life stability, and 44% highlighted confidence in building management and maintenance.
It argues that, in a market where supply is tightening and options are shrinking, the human relationship at the centre of a tenancy has become the strongest predictor of tenant retention. In other words, how landlords and agents communicate, respond, and build trust now matters more than almost any structural or market factor.
With the Renters Rights Act due to take effect in just over six weeks, new data from LRG offers an early glimpse of how tenants are adjusting to the coming changes.
Around 24% of renters say the shift to periodic agreements means they now expect to stay longer in their current home.
However financial pressures continue to shape decisions even more strongly. More than 70% report that wider cost pressures are influencing where they choose to live, and a third say those pressures are having a significant impact on their choices.
The squeeze on supply is also being felt. Nearly half of tenants say they have fewer options than they did a year ago, while 44% report greater difficulty finding a property that fits their budget compared with their last search.
The group’s findings also point to a generational change in what renters prioritise, suggesting that expectations and preferences are shifting as the market tightens.
Long-term suitability has now overtaken cost as the leading priority for renters choosing their next home, with 52% of tenants placing it at the top of their list. The shift is even more pronounced among under-34s, who have seen the sharpest rise in expectations about what a rental property should provide.
Among this younger cohort, 42% say their expectations have increased over the past year — the highest of any age group. The generation entering the rental market at one of its most challenging moments is also the one demanding the most from it.
Landlords, meanwhile, are reaching a similar conclusion about what makes a tenancy work. A clear majority — 72% — say they prefer tenants who stay indefinitely, compared with just 28% who favour fixed-term lets. And among those who do opt for fixed terms, the main reasons are practical: allowing time for rent reviews, redecorations or renewal discussions, rather than seeking to regain possession.
The group argues that its findings highlight the human realities behind the numbers. A tenant doesn’t stay because of legislation or market forces alone; they stay because someone picked up the phone, dealt with a repair promptly, and treated them as a person rather than a problem to manage.
From the landlord’s side, retaining a good tenant rarely comes down to financial incentives or contractual mechanics. It is driven by the same qualities tenants value most: responsiveness, respect and steady, reliable communication.
According to the group, the most enduring tenancies rest on the same foundations as any long-term relationship — trust, clear communication and consistency — and those human factors now matter more than ever in a tightening rental market.
A spokesperson for the lettings side, comments: “The rental market is growing up.
Tenants are not just looking for somewhere to live. They are looking for somewhere to settle.
“And landlords, overwhelmingly, want the same thing. The shift to periodic tenancies is bringing that aligned ambition to the surface.
“The landlords who understand that tenant retention is the most valuable thing they can achieve in this market will be the ones who come through the next few years in the strongest position.”