Amid rising renter demand and limited housing supply, landlord sentiment has seen a notable improvement, according to the latest Landbay landlord survey.
The survey indicates that 27% of landlords currently hold negative views about their buy-to-let ventures, a significant decrease from 37% at the end of last year. Meanwhile, 40% of landlords maintain a neutral perspective, and nearly 33% express a positive outlook.
Landlords with a positive outlook attribute their optimism to the steady or increasing demand for residential properties. One respondent remarked, “While the world is uncertain, the demand for residential property and accommodation is and will remain very high.”
The survey reveals that the most positive sentiments are held by landlords with portfolios exceeding 20 properties. Conversely, landlords with four to ten properties tend to be more negative than positive, while those with 11 to 20 properties are evenly divided.
Among house in multiple occupation (HMO) landlords, over 43% feel positive about their businesses, compared to just under 30% who feel negative.
The comprehensive survey, which covers a range of topics relevant to current landlords, highlights several key factors shaping landlord attitudes. Landlords with negative sentiments often cite uncertainty regarding potential government policy changes and rental reforms. Concerns about the proposed abolition of ‘no fault’ evictions, a policy supported by both the Conservative and Labour parties, were particularly prevalent.
Additionally, some landlords pointed to a pervasive anti-landlord sentiment as a significant issue. “With the lack of affordable housing, we are the scapegoats,” one landlord commented.
Rob Stanton, sales and distribution director at Landbay, emphasized the importance of government support for the rental sector. “Whichever party forms the next government, we hope that they will be committed to supporting the rental sector,” Stanton stated. “Nurturing confidence among landlords is absolutely key to the health and prosperity of the UK housing market, helping to provide much-needed accommodation.”
Stanton further noted that despite numerous crises and changing political landscapes, the buy-to-let market remains resilient and continues to thrive. “With affordability still a real challenge for residential buyers and demand continuing to outstrip supply, there is an abundance of tenants ready to rent across the country. There are many reasons to be optimistic about buy-to-let.”
As demand for rental properties continues to surge, the survey underscores the importance of landlord confidence in sustaining the UK housing market.