UK landlords with at least five rental properties are largely undeterred in expanding their property portfolios, research from Shawbrook has revealed.
Some 88% of portfolio landlords said they had added to their portfolios in the last six months, with one in four (25%) intending to invest in an additional property within the next year, and one in five (22%) looking to purchase multiple properties.
This is compared to smaller landlords (those with between one and four rental properties) who have been less bullish, with just 58% having added to their portfolio in the last six months.
Emma Cox, managing director of real estate at Shawbrook, said: “Whilst the property market remains challenging, it’s encouraging to see professional landlords continuing to invest and seek opportunities to diversify.
“Our research has shown that a significant number of landlords have taken proactive steps to expand their portfolios, while responding to demand to add quality, energy efficient rental stock to the market for renters.”
A substantial number of those looking to add at least one property to their portfolio were looking to diversify by location (39%), while 37% were actively exploring different types of residential property.
In addition, 26% of portfolio landlords said they are turning their attention towards student housing and 21% were looking at the retirement housing market.
Demand for rental homes is 51% above the 5-year average, and the number of available homes 30% below average in September 2023.
