Landbay has published its latest landlord survey, showing buy-to-let (BTL) sentiment has remained steady, with landlords making clearer decisions about their portfolios.
The results showed 41.4% of landlords described their outlook as neutral, 21.8% positive, and 36.8% negative, but confidence in the UK economy stayed low, with 69.2% negative and just 3.8% positive.
The majority of landlords said they do not plan to buy or sell this year.
51.9% do not expect to purchase more properties, while 35.3% are planning to add to portfolios.
27.1% reported gross yields between 4–6%, 21.8% said 6–8%, and 15.8% achieved 10% or higher.
Over 75% of landlords planned to increase rents in the next year, but approaches to rent setting have become more flexible due to the Renters’ Rights Act and a focus on tenant affordability.
Fixed-rate mortgages stayed the clear preference, with 87.2% favouring 2-, 3- or 5-year deals.
5-year fixes remained most popular at 46.6%.
Only 6% said they would choose a tracker next time.
The survey also showed the continued importance of brokers, with 83% of landlords using a broker from the start and a further 10% switching to broker support during the process.
Rob Stanton, sales and distribution director at Landbay, said: “The key difference compared to the results of our previous survey is that sentiment and confidence appears to have stabilised, even during a somewhat turbulent few months, particularly when it comes to product availability and rates.
“Landlords, for the most part, appear to be very confident about their own property businesses, and the future of their investments, even when their views on the future performance of the wider economy remain far more sceptical.
“What we are therefore seeing is a landlord community which is predominantly focused on what they can control.”
Stanton added: “They are making clearer decisions on whether to buy, sell or hold, and are continuing to adapt their strategies to ensure their portfolios remain profitable.
“It is also clear many landlords continue to achieve strong yields, which underpins their ability to remain active in the market, even in a more challenging environment.
“When it comes to borrowing, the preference for fixed rates remains very strong.”
He said: “Even with more discussion around tracker products, landlords are still prioritising certainty, particularly those looking to plan over the longer term.
“At the same time, a large number of landlords are still on higher-rate mortgages arranged when pricing was less favourable.
“Even with recent changes, the current environment still presents a clear opportunity for brokers to communicate with those clients and potentially secure improved outcomes.”
He added: “Our full range of products, but particularly Premier given its recent expansion, are designed to give brokers a strong set of options when supporting landlord clients, helping them review existing borrowing and potentially improve cash flow.
“These survey results show how engaged and resilient the landlord community is, how aware of the market changes they are, and how they are actively seeking to work with brokers in order to secure the best financial options for their property portfolios.
“To say this sector continues to present an opportunity for all stakeholders, would be quite the understatement.”