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Over 40 per cent of buy-to-let landlords eye portfolio expansion this year

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  • 25/01/2023
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Over 40 per cent of buy-to-let landlords eye portfolio expansion this year
More than four in 10 landlords intend to purchase more properties in the next year despite ongoing pressure on the buy-to-let sector.

According to a survey from Landbay, which collated responses from 700 landlords, 79 per cent of those intending to buy said they did not plan to sell any of their existing properties.

The strongest desire to buy was from landlords with larger portfolios, with half of landlords with one or more properties aiming to grow their portfolios.

Around 21 per cent said they did not know if they would buy more property and said they would wait and see what happens in the market.

Over a third said they did not intend to buy, and 64 per cent said they did not plan to sell.

It comes as many reports suggest that there could be a widespread sell-off of buy-to-let properties by landlords as rising maintenance and regulatory costs lower yields and increasing rent would put too much pressure on tenants.

Some have suggested that disposal of buy-to-let properties could also led to a drop in house prices.

Paul Brett, Landbay’s managing director for intermediaries, said: “Rather than a ‘mass exodus’, this latest data shows a real statement of intent among landlords to not only maintain their existing portfolios but to expand. This is hugely encouraging given the myriad of challenges facing landlords and the wider buy-to-let sector.

“Landlords will be encouraged by the news of rates trickling down recently. With the new year bringing lots of positive indicators for the year, plus strong rental yields still reported by many respondents, landlords clearly have the confidence to push ahead with expansion plans.”

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