How are landlords preparing for a change in government – landlord survey report H1 2024

Published 30 April 2024. Findings reflect landlord sentiment captured during fieldwork from April 23 to May 3, 2024, shortly before the July 2024 general election was called, and should be read as a snapshot of that period rather than current sentiment. Read the latest edition of Landbay’s landlord survey.

Landbay’s H1 2024 landlord survey captures landlord sentiment in spring 2024, with a change of government looking likely. 47.9% of landlords are concerned about the impact of a potential change in government, up from 40% in 2023. Despite that concern, 43.7% plan to buy a property in the next 12 months, up from 32% at the end of 2023, and 84.9% plan to raise rents within the year.

For brokers, this is a client base positioning ahead of political uncertainty rather than waiting it out. Most landlords intend to hold what they own, more plan to buy than at the end of 2023, and seven in ten expect their next remortgage to be a 5-year fixed rate. The H1 2024 edition covers landlord demographics, portfolio plans, the Renters (Reform) Bill, rent rises and remortgage preferences.

Key findings at a glance

• In Landbay’s H1 2024 landlord survey, 68.1% of landlords operate through a limited company, broadly stable from 68% in 2023 and 70% in 2022.
• 43.7% of landlords intend to buy a property in the next 12 months, up from 32% at the end of 2023.
• 69.7% of landlords have no plans to sell any property, up from 62% in 2023.
• 47.9% of landlords are concerned about the impact of a potential change in government, up from 40% in 2023.
• 84.9% of landlords plan to raise rents within the next year, up from 61% in 2023.
• 70.6% of landlords expect their next remortgage to be a mid-term, 5-year fixed rate, up from 46% in 2023.
• 26.9% of landlords own HMO properties, and 72% of those hold them through a limited company.
• Landlords are split on the outlook for buy to let: 32.8% feel positive, 40.3% neutral and 26.9% negative.

About this survey

The Landbay landlord survey is our own research. We run it twice a year with our landlord borrower base, and publish the findings in full.

Each edition combines two sets of questions. Evergreen questions cover portfolio size, location, intentions to buy or sell and the reasons behind them, and general outlook. These stay the same in every edition, so results can be tracked over time. Topical questions are added when something significant happens in the market. For H1 2024 the topical focus is the prospect of a change in government and its potential impact on the sector, alongside the Renters (Reform) Bill, rent rises and landlord remortgage plans.

For the H1 2024 edition we surveyed more than 1,500 UK landlords from April 23 to May 3.

• Landlords surveyed: more than 1,500, drawn from Landbay’s landlord borrower base
• Frequency: twice a year
• Question design: repeated evergreen benchmark questions, plus topical questions added in response to market events
• Fieldwork period: April 23 – May 3
• Publisher: Landbay Partners Limited

“We carried out our last survey in Spring 2024 at a watershed moment when the country was on the cusp of change, with a General Election called shortly afterwards. The findings reveal landlords’ hopes, fears and ambitions at a key moment in time in our sector’s history.”

John Goodall, CEO of Landbay

Do most landlords use a limited company?

Limited company ownership remains the norm. In Landbay’s H1 2024 landlord survey, 68.1% of landlords operate through a limited company, and the remaining 31.9% own property as individuals. The finding is broadly stable, from 70% in 2022 and 68% in 2023.

Asked how many rental properties they own:

• 41.2% of landlords own 4 to 10 properties, the largest single group.
• 24.4% own more than 20 properties.
• 16% own 11 to 20 properties.
• 11.8% own 2 to 3 properties.
• 6.6% own a single property.

Broker takeaway. Around a third of landlords still hold property in their own name, so it is worth confirming ownership structure early in a conversation rather than assuming a limited company. With more than four in five owning four or more properties, portfolio lending rules are likely to apply to most of these clients.

How many landlords own HMO properties?

In Landbay’s H1 2024 survey, 26.9% of landlords own houses in multiple occupation (HMOs), while 73.1% do not. Of the landlords who own HMOs, 72% hold them through a limited company, and half have no other job and rely on their property or portfolio as their sole source of income.

Broker takeaway. Around a quarter of the landlord base holds HMO stock, and most of those do so through a limited company. HMO valuation and licensing requirements are worth raising early with this group, particularly the half who depend on rental income alone.

Where do UK landlords own the most rental property?

Landlord portfolios are concentrated in a handful of regions. In Landbay’s H1 2024 survey, 25.2% of landlords say most of their rental property is in the South East, 20.2% say London, and 18.5% say the North West.

The rest of the regional split:

• 7.6% of landlords hold most of their property in the South West.
• 5.9% hold most of their property in Yorkshire and the Humber.
• 5.9% hold most of their property in the East Midlands.
• 5% hold most of their property in the West Midlands.
• 4.2% hold most of their property in the North East.
• 4.2% hold most of their property in Wales.
• 3.4% hold most of their property in the East of England.

Broker takeaway. Almost two thirds of landlords hold most of their property across the South East, London and the North West, three markets with very different price points and rental yields. The same portfolio strategy can meet lender criteria on valuation and rental cover quite differently depending on where a client’s properties sit.

Do landlords rely solely on income from their properties?

For many landlords, buy to let is a supplementary income rather than a full-time job. In Landbay’s H1 2024 survey, 42.9% of landlords manage their properties alongside full-time employment and 16% alongside part-time work, while 41.2% rely solely on income from their property portfolio.

Among landlords without another job, the largest group holds 4 to 10 properties, 34% hold more than 20, and 18% hold 11 to 20.

Broker takeaway. Two in five landlords depend on rental income alone, and they are more likely than landlords overall to hold more than 20 properties (34% against 24.4%). For these clients, it is worth checking early how a lender treats applicants with no employed income, including any minimum personal income requirement.

How do landlords manage their properties?

Most landlords in Landbay’s H1 2024 survey prefer a hands-on approach: 52.1% self-manage their properties, 24.4% work with an estate agent, 20.2% use a professional management company, and 3.3% use another arrangement.

Broker takeaway. More than half of landlords self-manage, so day-to-day letting decisions, including how a portfolio responds to new legislation, often sit with the landlord directly rather than an agent. That makes landlords themselves the right audience for timely, practical updates.

Are landlords planning to buy or sell?

More landlords plan to buy than at the end of 2023. Landbay’s H1 2024 survey finds 43.7% of landlords intend to buy a property in the next 12 months, up from 32% at the end of 2023, while 39.5% have no plans to buy and 16.8% are undecided.

On selling, 69.7% of landlords have no plans to sell any property, up from 62% in 2023, while 29.4% plan to sell some of their portfolio and 0.9% plan to sell all of it.

Broker takeaway. Higher buying intent, alongside seven in ten landlords planning to sell nothing, points to a client base looking to grow rather than consolidate. With an election due, it is worth checking that purchase plans have headroom for any change in tax or regulation.

Are landlords concerned about a change in government?

With a general election due, landlords are watching politics closely. In Landbay’s H1 2024 survey, 47.9% of landlords are concerned about the impact of a potential change in government, up from 40% in 2023. 40.3% are not worried, and 11.8% are unsure.

Broker takeaway. Almost half of landlords are uneasy about the political outlook. Where a client raises policy uncertainty, it is worth separating general political concern from anything specific to their own portfolio, since the two call for different conversations.

How do landlords feel about the Renters (Reform) Bill?

At the time of the survey, the previous government was proposing the Renters (Reform) Bill, which included abolishing Section 21 “no-fault” evictions. The Bill ran out of parliamentary time when the general election was called. The current government’s Renters’ Rights Bill includes some of the same measures.

The report does not publish percentage breakdowns for this section. Landlords’ comments raise three recurring themes: concern that the reforms could be used against landlords by tenants acting in bad faith, a wish for stronger possession rights, and a view that the proposals are skewed towards tenants.

“The legislation will be abused by tenants and used against landlords who are already facing tough conditions.”

Landlord, Landbay H1 2024 landlord survey

“Ability to easily expel bad tenants is vital to maintaining a healthy rental market.”

Landlord, Landbay H1 2024 landlord survey

“All the changes sound great, but most will not work in practice for landlords trying to manage their businesses fairly.”

Landlord, Landbay H1 2024 landlord survey

Broker takeaway. Landlord concern about possession rights is clear, and the current government’s Renters’ Rights Bill carries forward some of the same measures. Possession rights are likely to keep coming up in client conversations.

Are landlords planning to raise rents, and how quickly are they re-letting?

A large majority of landlords plan to raise rents. In Landbay’s H1 2024 survey, 84.9% of landlords plan to raise rents within the next year, up from 61% in 2023, while 15.1% do not.

Asked how long it takes to find a new tenant after one leaves, looking back over the past 12 months, 37.8% of landlords say about 1 to 2 weeks and 17.6% less than a week. 16% say about 3 to 4 weeks, 5.9% more than a month, and 2.5% 2 months or more. The remaining 20.2% have not had any tenants leave. Of the landlords who have had a tenant leave, most re-let within two weeks.

Broker takeaway. Most landlords plan to raise rents, and most who have had a tenant leave find a replacement within two weeks. Where rents have gone up since a property was last mortgaged, the higher rent may improve rental cover at remortgage, subject to the lender’s valuation.

How long are landlords looking to fix their mortgages for?

Landlords are looking to fix for longer. In Landbay’s H1 2024 survey, 70.6% of landlords expect their next remortgage to be a mid-term, 5-year fixed rate, up from 46% in 2023. 20.2% expect a short-term, 2-year fixed rate, 5.9% a long-term 7 or 10-year fixed rate, and 3.4% a variable tracker rate.

Broker takeaway. Seven in ten landlords expect to take a 5-year fixed rate next time, up from under half in 2023. That makes product term an early question in any remortgage conversation, and a reason to start it well ahead of a client’s existing deal ending.

How do landlords feel about the future of buy to let?

Landlords have mixed feelings. In Landbay’s H1 2024 survey, 40.3% of landlords feel neutral about the future of their buy to let business, 32.8% feel positive, and 26.9% feel negative.

Broker takeaway. More landlords are positive than negative, and the largest group is neutral. The neutral group is the one most likely to be weighing its options, and so the most open to practical guidance on what policy change could mean for its plans.

What this means for brokers overall

Taken together, Landbay’s H1 2024 landlord survey describes a sector positioning itself ahead of political change rather than pausing for it. Compared with 2023, more landlords are concerned about a change in government, but more also plan to buy, more plan to hold every property, and more plan to raise rents. Seven in ten expect their next remortgage to be a 5-year fixed rate. As one landlord puts it: “We have a good business going and intend to keep expanding despite the changes.” For brokers, the survey points to purchase and remortgage demand that is holding up despite political uncertainty, and to clients who want to be kept informed on rental reform and policy change.

Download your copy here.

Frequently asked questions

How does Landbay run its landlord survey?

We survey our landlord borrower base twice a year. Each edition repeats a set of evergreen benchmark questions on portfolio size, location, buying and selling intentions and outlook, and adds topical questions when significant market events occur. For the H1 2024 edition, we surveyed more than 1,500 UK landlords from April 23 to May 3, 2024.

Do most landlords hold their property through a limited company?

Yes, around two thirds. In Landbay’s H1 2024 landlord survey, 68.1% of landlords operate through a limited company, broadly stable from 70% in 2022 and 68% in 2023, while 31.9% own property as individuals.

Are landlords planning to buy property?

More than before. In Landbay’s H1 2024 survey, 43.7% of landlords intend to buy a property in the next 12 months, up from 32% at the end of 2023, while 39.5% have no plans to buy.

Are landlords selling up?

Not on a large scale. In Landbay’s H1 2024 survey, 69.7% of landlords have no plans to sell any property, up from 62% in 2023, while 29.4% plan to sell some of their portfolio and 0.9% plan to sell all of it.

Are landlords worried about a change in government?

Almost half are. In Landbay’s H1 2024 survey, 47.9% of landlords are concerned about the impact of a potential change in government, up from 40% in 2023.

What do landlords think of the Renters (Reform) Bill?

Landlords are concerned about possession rights. In Landbay’s H1 2024 survey, landlords commenting on the previous government’s Renters (Reform) Bill worry the changes could be misused by tenants and want stronger possession rights. The Bill ran out of parliamentary time when the general election was called, and the current government’s Renters’ Rights Bill includes some of the same measures.

Are landlords planning to raise rents?

Yes, most are. In Landbay’s H1 2024 survey, 84.9% of landlords plan to raise rents within the next year, up from 61% in 2023.

How long does it take landlords to find a new tenant?

Usually within two weeks. In Landbay’s H1 2024 survey, 37.8% of landlords say it takes about 1 to 2 weeks to find a new tenant and 17.6% less than a week, while 20.2% have not had a tenant leave in the past 12 months.

What type of mortgage do landlords expect to take when they next remortgage?

Mostly mid-term fixed rates. In Landbay’s H1 2024 survey, 70.6% of landlords expect their next remortgage to be a 5-year fixed rate, up from 46% in 2023, while 20.2% expect a 2-year fixed rate.

Do landlords own HMO properties?

Around a quarter do. In Landbay’s H1 2024 survey, 26.9% of landlords own HMO properties, and 72% of those hold them through a limited company.

How confident are landlords about the future of buy to let?

Mixed. In Landbay’s H1 2024 survey, 40.3% of landlords feel neutral about the future of their buy to let business, 32.8% feel positive, and 26.9% feel negative.