Two thirds of landlords plan to retain properties next year

Landbay research shows that within that figure around 36 per cent intend to buy property and the other 34 per cent are considering selling but only one tenth will sell all of their property.

The main reason cited within this segment for selling is property investment no longer being financially viable.

Around 90 per cent of landlords looking to sell say they only want to sell some of their properties with 15 per cent of those intending to buy, as they are restructuring their properties.

There is regional variation, with approximately half of landlords in London saying they want to sell some property, with 29 per cent of landlords in South of England saying the same. This falls to 25 per cent in the North and 22 per cent in the Midlands.

Around 65 per cent of landlords point to rising interest rates as a factor in selling, an increase from 45 per cent a year ago.

Nearly 30 per cent said rent is not covering mortgage costs, up from 22 per cent in the same period last year.

Landlord taxation is also a reason to dispose of property for 40 per cent of respondents and 25 per cent pointed to the lowering of Capital Gains Tax.

Landlords trimming portfolios but not getting out

Rob Stanton (pictured), business development director at Landbay, said: “Our survey found that one in three landlords are thinking of selling some of their property but not all of it. They intend to stay in the market but are trimming their portfolios and some are reorganising as they both buy and sell property. Higher costs are typically why landlords want to sell, not just interest rates but taxation is also an issue for some.

“On the positive side, two thirds of landlords have no intention of selling and 36% of those are looking to buy property. The market is changing and landlords who see opportunities are taking them while others are rethinking their strategy.”