Seven in ten UK landlords (69%) are planning to promote at the very least one property within the subsequent 12 months, new analysis exhibits.
The findings come amid rising prices, with landlords citing altering laws, taxation, and a much less enticing general return as key components driving the choice to promote.
The most important monetary concern for landlords in 2025 is new and altering laws, with 43% reporting this as their high fear. This consists of laws such because the Renters’ Rights Invoice and upcoming tax reporting adjustments similar to Making Tax Digital, which would require some landlords to file quarterly updates utilizing digital software program from April 2026.
Nearly 1 / 4 of landlords (24%) are additionally involved about upkeep prices, which was adopted by elevated taxes (13%) and rising mortgage rates of interest (12%).
When requested why they have been planning to promote, some landlords stated it’s “changing into not financially viable” to stay within the rental sector. A couple of in ten (14%) reported that they have been “very unconfident” within the long-term profitability of being a landlord, with an extra 17% feeling “considerably unconfident”. Simply 10% stated they’re “very assured” within the profitability of their rental companies.
Landlords have seen blended outcomes on rental income up to now 12 months. Round a 3rd (32%) have seen rental income improve, however 34% have skilled a lower. One other 34% reported that rental income had stayed the identical.
Solely 7% of landlords stated they have been planning to buy further properties and develop their portfolio within the subsequent yr.
Mike Parkes, technical director at GoSimpleTax, commented: “These findings present a transparent tipping level for landlords as confidence in profitability drops however prices hold rising. Many landlords are scaling again or leaving the market completely. It’s essential to acknowledge that new and altering regulation is their primary concern, and that assist and steering is on the market.
“Some obligatory adjustments, similar to Making Tax Digital, don’t should be a burden. With round ten months to go, getting ready for it early by getting snug with digital reporting forward of time will assist landlords to cut back stress and keep compliant. It ought to be a key consideration for any property professionals interested by their subsequent steps.”
