According to research from Landbay, based on the opinions of landlords operating approximately 2,000 properties, only 17% in the Midlands are optimistic about the future, and 13% in the North reported feeling positive.
Approximately 44% of landlords said they felt negative about their outlook, which compares to 39% in the South and 42% in the Midlands.
Landlords using a limited company structure are more confident than those operating as individuals, with only 35% saying they felt negative compared to 56% of those borrowing as individuals.
Those with between four and 10 properties were the most confident, with 31% saying they felt positive about the future.
Landlords with larger portfolios of over 20 properties were the least confident, with 55% saying they felt negative about the future of their buy-to-let (BTL) business.
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Two in five landlords said they felt neutral about the future of their business, while 18% said they felt positive and 42% reported feeling negative about the future.
Only 0.75% of landlords said they were selling all their properties.
Of those landlords who described themselves as neutral, just a quarter said they were considering selling off part of their portfolio and only 47% ruled out growing their portfolios.
Rob Stanton, sales and distribution director at Landbay, said: “Given the current economic climate and the state of play when it comes to taxation and future regulation, landlords in the North and Midlands can be forgiven for not feeling more upbeat about their prospects.
“Landlords have seen some huge changes in the buy-to-let market – increases in stamp duty and the Renters’ Rights Bill being two very significant ones – and may have been unsettled by escalating geopolitical tensions recently, too. That’s all hit sentiment. While there are certainly some headwinds to contend with, it is reassuring to know so few of them are choosing to cut and run entirely.”
He continued: “There are 40 landlords looking to expand their properties for every one landlord planning to chuck in their portfolios entirely. Property remains a reliable investment vehicle. Not only does demand continue to outstrip supply, rental yields are strong.
“Add in a broad range of products that can support landlords in a wide variety of situations, and I’d argue that, even with headwinds, there is reason to be optimistic about building, maintaining and expanding a rental portfolio.”
