The recent Property118 Landlord Sentiment Survey, completed by 2,380 landlords in the first quarter of 2026, offers a comprehensive snapshot of the UK’s private rented sector. Representing ownership of over 23,000 properties, this survey is the largest of its kind and reveals significant trends in landlord demographics, ownership structures, and future intentions.

Landlord Demographics: An Ageing Sector

The survey highlights a maturing landlord population, with over three-quarters (76.8%) aged 56 or older. Only 2.6% of respondents are under 40, indicating a limited influx of younger investors. This ageing demographic raises concerns about succession planning and the potential acceleration of property disposals in the coming years, as older landlords may look to reduce or exit their portfolios.

Geographical and Property Type Distribution

Geographically, London and the South East account for 37% of respondents, reflecting the concentration of property investment in these higher-value markets. The North West also shows strong representation at nearly 12%, likely due to growing buy-to-let activity in cities such as Manchester and Liverpool. In contrast, Scotland, Wales, and Northern Ireland collectively represent less than 8% of the sample.

Regarding property types, the vast majority (86%) let standard residential properties such as houses, flats, and bungalows. Houses in multiple occupation (HMOs) constitute just 7.2%, a notable figure given the increased regulatory demands associated with HMOs. Other property types and commercial properties make up a small fraction of the portfolio.

Ownership Structures and Management Approaches

Ownership remains predominantly personal, with 61.2% of landlords holding properties in their own name. However, more than half (52.1%) express a preference for limited company ownership for future purchases, signalling a shift influenced by tax changes such as Section 24. Family investment companies are also gaining traction, preferred by 10.9% of respondents, reflecting growing interest in inheritance tax planning and wealth transfer strategies.

In terms of property management, 40.8% of landlords manage their properties entirely themselves, while 23.8% use agents for full management. A further 19% employ a mixture of self-management and agent services, and 15.9% use agents solely for tenant finding. This reliance on personal management raises questions about regulatory compliance and standards across the sector.

Financial Positioning: Conservative Gearing

Financially, the sector appears conservative. Nearly 30% of landlords have no mortgages, and over 60% have loan-to-value (LTV) ratios of 50% or less. Only 2% are highly leveraged above 75% LTV. This substantial equity buffer may explain the absence of widespread mortgage defaults despite recent interest rate increases.

Future Intentions: A Sector in Transition

The survey’s most significant findings concern landlords’ plans over the next 12 months. Nearly 40% intend to sell one or more properties, and 17.3% plan to exit the sector entirely. In contrast, only 6.8% aim to purchase additional properties. This imbalance suggests a potential contraction in the private rented sector, with serious implications for housing supply and tenant stability.

Additionally, 31.6% of landlords expect to remortgage within the year, facing higher repayment costs due to elevated interest rates. This financial pressure could further accelerate disposals. Meanwhile, over 80% of landlords do not incorporate life insurance into their property strategies, highlighting a gap in financial planning, especially given the older demographic profile.

What this means for landlords

The survey paints a picture of a sector dominated by older, financially cautious landlords who largely manage standard residential properties themselves. The shift towards limited company ownership for new acquisitions reflects changing tax landscapes but also highlights the challenges of restructuring existing portfolios due to capital gains tax liabilities.

With a majority of landlords planning to reduce their holdings or leave the sector, the private rented sector faces a potential supply shortage. This could displace many tenants and exacerbate pressures on social housing and the broader housing market. Landlords should consider the implications of these trends on their investment strategies and succession planning, while policymakers must recognise the risks posed by ongoing regulatory and tax changes.

Source: Based on reporting from Property118

TLA Training Academy

The Landlord Association has launched its new Training Academy for UK landlords, providing structured guidance, compliance education, and practical knowledge to support landlords at every stage. Members can now complete the programme and become TLA Certified Landlords at no additional cost as part of their membership.

Landlords can explore the Academy here: https://landlordassociation.org.uk/tla-academy/

Those looking to join and access the full training and certification can register here: https://landlordassociation.org.uk/landlord-association-membership-uk/

TLA update

The Landlord Association is currently onboarding new service providers into its Trusted Partner Hub, a new initiative designed to support landlords, tenants, letting agents, and property managers with vetted, high-quality services. As one of the fastest growing landlord associations in the UK, TLA offers partners direct access to an engaged and active member base at the point of need. Service providers across legal, maintenance, insurance, finance, mortgages, tenant screening, and property services can register their interest here: https://landlordassociation.org.uk/become-a-tla-service-partner/