Investor sentiment jumped 15 per cent year on year in the final three months of last year, according to a survey by BM Solutions.
The uplift in morale coincides with more than one in ten landlords planning to increase their portfolios in the coming year.
Just over one in five landlords intend to sell this year, although this is down from the all-time high of 26 per cent recorded in Q2 2019.
Profitability levels were stable in the final quarter of 2018, with 85 per cent of investors making a profit from their lettings activity.
One in four landlords managing portfolios of 20 or more properties derived a “substantial” profit from their business.
BM questioned 791 National Landlords Association members.
Phil Rickards, head of BM Solutions (pictured), said: “The new year has brought greater calm and stability for landlords than previous years and these latest findings reflect this. With interest rates still at an all-time low, and property prices now starting to rise, feedback from landlords is that this is a great time to buy and there’s more confidence in the market.
“Although it’s not clear what lies ahead in terms of property legislation, the hope in the buy-to-let sector is that momentum stays high, positive sentiment among landlords is maintained and any new policies will support the private rental sector.”