Some 69 per cent of landlords have already or are planning to increase the size of their property portfolio, increasing to 77 per cent of professional landlords.
This investment - revealed in a survey by OSB finance house - comes at a time when 42 per cent of landlords say they are optimistic about their future, with one in five professional landlords saying they feel very optimistic.
Reflecting the increasing professionalisation of the PRS, 65 per cent are considering or have already transitioned to become limited companies or incorporated entities.
Additionally, more than two-thirds are investing or planning to invest in order to stay ahead of legislative changes, and 58 per cent have or plan to employ more staff while 68 per cent are spending more time thinking about the tenant experience.
Jon Hall, Group Managing Director Mortgages and Savings at OSB Group, says: “Landlords play a critical role in society, and this research clearly demonstrates that they are optimistic and committed to the future of the sector.
“The actions landlords are taking, such as future financial planning, investing in the growth of their businesses, and building better tenant relationships, are a clear sign of their drive to improve the PRS for the long-term despite the many headwinds. We hope to see this continue over the next 12 months and longer”.
According to the research, the top reasons for being a landlord are earning potential and the ability to pass down wealth and inheritance to future generations, followed by investing in a fixed asset and having a positive experience on tenants’ lives.
The latter is reflected in landlord action, with 75 per cent of landlords engaging or planning to engage with tenants to understand their needs better and foster positive relationships, and a quarter have also expressed their desire to positively impact tenants' lives for the future.
OSB spoke with 1,000 landlords to assemble the survey.
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They didn’t speak to the landlords on landlord today. They would have got different results.
A finance provider bigging it up on landlords increasing portfolios. No vested interest there then.
Never heard of them 🤷♂️. Perhaps made up propoganda by the MPs to help justify their actions with the RRB.
Well they haven’t asked small accidental full time working “landlords “ like me who are renting their house for pennies and who are fed up of being slandered like criminals.
The current rent prices are insane and unaffordable but the owners have invested fortunes to make them look like dolls and to satisfy customers and media activists.
You get what you pay for.
Everyone can move to a different property if they are not happy with the one they live in.
Cheap rent and luxurious property do not go together.
The professional landlords supply excellent accommodations but the “unaffordable “ price is a reflection of the invested money.
Anyway I have told my tenants that due to the proposed changes in the bill it’s no longer affordable for me to rent it.
Now I am travelling to work to pay the gigantic taxes so there’s enough for the entitled parasites “on benefits “.
We are wronged, hurt and very aggrieved not at all Optimistic.
So put another way 80% are not very optimistic and 58% are not optimistic. Their glass isn’t even half full and they are bugging it up
Well we know labour will stick the knife in and rents will continue to increase, I'll stick with what I have I won't be buying any more though
I agree. I'm sticking with what I have already, paying income tax but avoiding CGT on selling and Stamp Duty penalties levied on new purchases.
To misquote a well known saying: "Neither a buyer nor a seller be."
What utter twaddle.
Another pile of unqualified self serving so called ‘survey’ rubbish. The implied notion that ltd co landlords are somehow more professional is plain wrong.
There are many reasons why the majority of experienced LL’s, many with larger portfolios have chosen not to incorporate. It’s a decision closely related to individual circumstances and the complexity of the ruinous UK taxation system.
Massive CGT fines on selling your own property to your own property company is a major disincentive to setting up a property company.
I also suspect that if far more landlords incorporated then the politicians would change the tax rules just as they did with penal CGT fines on property sales which don't get levied on the sale of other assets.
I have never been more optimistic. Tough times mean more landlords leave which turn means less stock.
Hard to think of many businesses which have increased in percentage like rents have over the past couple of years.
It’s still a great business
Selhurst, increased rent is due to all the increased costs, interest rates, higher tax (due to s24), higher costs of materials and labour to carry out the work in let properties. Not to mention costs associated with non-paying tenants. You must be minority to want to purchase more stock due to departing LL's. S21 is quite likely to be abolished and you have no control over your assets. If that's how you want it, you are welcome to more stock, where councils, charities and government decides what you should be doing with your properties.
Selhurst, you may not have noticed but some foods have doubled in prices at the supermarkets. Everything practically has been increased by at least 50% since covid ended. Rents have not increased as much as 50% or 100%.
OSB spoke with 1000 landlords, 69% optimistic, this is increasing to 77%. This whole paragraphs reading through does not seem correct, totally made up figures. Then they goes on to say they will have staff to look after tenants. So they are talking about large corporates buying more stock and let the staff look after the tenants. There will no duty of care for the tenants, even higher rents are on the horizon, no social housing. We will see how this works. Mortgage companies charge higher rates to the corporates, more profit margins for them. This article is just trying to encourage corporate landlords or asking LLs to corporate. Self serving idiots.
Just as student ghetto high rises have pushed up student rents in normal flats, these corporate high rises will push up market rents for other tenants.
I agree Vibha. When the corporates take over they will have the same problems with economies of scale as do the housing associations. The small landlord has an intimate knowledge of his property along with a network of local tradesmen. The staff who work for the Corporates will not have the same motivation and will probably want to work from home!
I have not met any Private Landlord who is optimistic . Why does this website keep printing twaddle that is clearly false.
My guess is the 1,000 Llds they spoke to were all from their own client database (easy to contact and a cheap to do 'survey'). Likely including those currently looking for or considering a mortgage.
So not representative of landlords in general.
Goes against other figures we've seen; including reputable (I recall ONS) ones showing:
-lowest number of rental acquisitions; and
- second lowest number of rentals sales (highest was in the preceding survey/last year).
Heard yesterday the moving out date of the family of working adults I had to give s21 notice to (gave them a bit over the minimum 2 months).
That was directly as a result of the Minister's non-reply (just a general 'aren't we great' type letter) to the numerous points I put to one of my MPs: I didn't get any assurance the RRBill wouldn't be changed. Also, the risks of what a new Govt. would do.
To give credit, I just learned that the MP has passed my not-at-all happy response to the Minister's useless letter back to him (Jacob Young) for proper answers - if he can. My chaser may not be comfortable reading for DLUHC: I don't like being patronised or 'fobbed-off'. My original was over 70 paragraphs of points, RRB omissions, and unintended consequences: likely to harm both landlords and tenants; and help no-one.
The all working adult family has found somewhere else, so won't be homeless. But I guess someone else lower down the tenants 'pecking order' (e.g. lower income and/or with non-working dependents) won't fare as well.
Hope the supposedly tenant assisting charities are happy with the results of their s21 campaigning.
I may send this to the chief executive of one I complained to about his past inaccurate comment about the effects of s21, as I have his e-mail address from the excuse reply he tried (which itself contained an un-thinking glaring fault).
Is 'optimism' Orwellian double speak for 'suicidal levels of pessimism' ?
Optimism my ar*e!!
As a example of rising costs a toilet/ cistern pack ready to go was £50.00 with several suppliers a couple of years ago now £75.00.
Only the corporates optimistic! The small landlords are leaving. I have just sold three flats. The golden days of being a landlord are over. Get out while you can. It will only get worse under Labour as they will want to appease their voters.
Their sample was drawn from their customer base
Really the Conservative party is selling our businesses to the banks and corporate finance. They are hooked on cheap labour and selling things they dont own, and conning people with a nirvana type of future. Creating debt junkies, like universities who flogg useless degrees.
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