Over half of lettings agents have no plans to adopt AI
The latest industry insight from Inventory Base has revealed a cautious approach to artificial intelligence (AI) among UK letting agents, with over half (53%) of agencies stating they have no plans to adopt AI or automation in their operations.
A new survey of UK letting agents, commissioned by Inventory Base* assessed current adoption levels of AI, usage areas, and sentiment. And while some agents are exploring AI’s potential, it seems that widespread concerns about its impact on tenant relationships are stalling uptake across the sector, resulting in a call for AI systems to be made sector-specific, assistive in nature, and clearly framed around compliance and tenant care rather than focussing only generic automation tools that risk disrupting established workflows and human connections.
The survey found that just 12% of lettings agents have adopted AI “extensively”, while 15% are using it “to some extent”. And whilst 21% are considering AI but haven’t yet implemented it, the majority – 53% – are not using AI and have no intention to ever do so.
Where AI is in use, it’s primarily focused on marketing and lead generation (44%), followed by tenant screening (17%), automated messaging or chatbots (17%), and to a lesser extent, maintenance handling (11%) and compliance checks (11%).
However, 72% of respondents cited the “loss of human touch in tenant relationships” as their greatest concern, far outweighing worries about data privacy (11%), system accuracy (11%), or job displacement (6%). This concern is equally relevant for inventory providers, whose on-site presence often acts as a neutral, trusted touchpoint for tenants during move-ins and move-outs. AI must therefore enhance — not erode — the professional judgement and observational accuracy they bring to the process.
When asked about AI’s impact on tenant relationships, just 18% believed it improved them, while 36% felt it actively undermined the landlord-tenant dynamic – either slightly (18%) or significantly (18%), although nearly half (47%) said it had no impact either way.
Perhaps most tellingly, 76% of letting agents said they had received no formal training or guidance on how to use AI responsibly and in compliance with lettings legislation.
Only 6% had received comprehensive training, while a further 6% had some limited guidance. This lack of education may help explain the reluctance to engage with the technology, especially when combined with doubts about legal compliance – 27% of agents admitted they weren’t confident their existing tools met industry standards.
And while most discussions centre around agents, this lack of structured guidance also leaves inventory providers — many of whom produce the evidence used in deposit and legal disputes — without the support to engage with AI tools responsibly and in line with tenancy law.
As PropTech continues to evolve, Inventory Base encourages the sector to view AI not as a replacement for human service, but as a complement — streamlining operations while freeing up more time to focus on personal, high-value interactions.
Siân Hemming-Metcalfe, Operations Director at Inventory Base, comments:
“It’s clear that many letting agents still feel unsure about how AI fits into their business model, particularly when it comes to maintaining strong tenant relationships. That uncertainty is not a reflection of agent resistance, but of the industry’s responsibility to provide tools designed with letting legislation as well and tenant experience in mind.
But the hesitation may stem more from a lack of understanding, or formal training and guidance than from the technology itself. Inventory providers, too, are seeking clarity. As report authors and frontline observers, they need AI tools that preserve the accuracy, neutrality and consistency required in tenancy evidence — not systems that bypass their expertise.”
As AI matures in the property sector, supporting all key stakeholders — including letting agents, landlords, and inventory providers — with ethical, transparent, and legislation-aware tools will be essential to securing trust and enabling responsible adoption.” ”
Inventory Base is researching, investing and actively deploying in ways AI can enhance—not replace—the daily realities of letting professionals and inventory reporting professionals. This includes supporting education, embedding responsible design, and ensuring tools reflect and manage the complexities of landlord, agent and tenant relationships.
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