It’s clear from the latest landlord research that the North of England continues to capture the attention of landlords and advisers alike — and with good reason.
Our Q1 2025 Landlord Trends report, developed in partnership with Pegasus Insight and based on over 880 interviews with NRLA members, provides a clear statistical backdrop to this narrative.
The North East stands out with the largest average portfolio sizes — 11.7 properties per landlord compared to the national average of 7.4.
Yields across the North remain strong, with landlords in the East Midlands generating the highest returns at 7.1%. Although I fully accept that some may not consider the East Midlands to be in the ‘North’ for obvious reasons.
These numbers are reinforced by ongoing affordability, which is becoming more favourable as mortgage rates soften and product availability improves. For landlords with a keen eye on cash flow and long-term growth, lower house prices in many northern areas are making portfolio expansion financially viable, even with modest leverage.
At Foundation Home Loans, we are seeing that with very strong DIP requests and applications coming in for properties within those more northerly regions. What’s more, landlords operating through limited companies — a segment that has more than doubled in five years and now accounts for 74% of all new BTL purchases — are particularly active in these areas.
However, this isn’t the whole story by a long shot. While the North currently dominates the headlines in terms of growth, the South remains a powerhouse of opportunity — albeit a more nuanced and strategic one.
At Foundation Home Loans, we can see the opportunity for substantial landlord engagement in southern regions such as the South East (excluding London), South West, outer and central London, and the East of England.
These are regions where landlords may not be purchasing at the same pace as in the North, but they are actively managing, restructuring, and reinvesting in their portfolios — and that creates fertile ground for adviser-led support. Tenant demand, for example, remains just as robust – perhaps even more so — in many of these southern markets than their northern counterparts.
In the South West, for example, 47% of landlords reported “very strong” tenant demand — the highest of any region in Q1 2025. This strong demand has translated into lower void rates and greater rental stability, giving landlords the confidence to raise rents or reinvest in their properties.
Across the country, 64% of landlords plan to increase rents in the next 12 months, with the highest average uplift forecast in outer London, at 7.8%.
Even in central London, where the average yield is the lowest nationally at 5.7%, landlords are showing clear signs of long-term commitment. Just 7% of landlords operating in this area sold a property in the last year — far below the national average of 22%.
These landlords aren’t selling because they see central London as a long-term play, potentially benefiting from premium rents and significant capital appreciation. They’re also amongst the most financially resilient: 43% of all landlords nationally own their portfolios outright, and this figure is even higher in high-value regions like London and the South East.
So, what does this mean for advisers? In short: the opportunity is different, but no less significant. Southern-based landlords are less likely to be first-timers and more likely to be long-established, experienced operators.
Our data shows the average landlord is 63 years old and has been in the sector for nearly two decades. Many have weathered multiple economic cycles and are now focused on portfolio optimisation, whether that’s through refinancing, restructuring into a limited company, planning for retirement, or investing in energy efficiency improvements to futureproof their assets.
This is where advisers come into their own. For example, nearly half of landlords (48%) still own properties that don’t meet the EPC ‘C’ requirement, and 46% of those impacted say they plan to carry out the necessary works. Many intend to fund this through savings or rent increases, but a significant portion are looking at refinancing to release capital.
The appetite for refinancing also remains strong. 38% of leveraged landlords say they plan to remortgage or carry out a product transfer within the next 12 months — rising to over 50% among those with four or more BTL loans.
That represents a significant opportunity for advisers, particularly in southern markets where portfolio values are higher and the financial gains from a well-structured refinance can be substantial.
It’s also important to acknowledge the emotional and strategic differences in landlord behaviour between regions.
While the North has a significant amount of acquisition, the South is increasingly defined by consolidation, strategic reinvestment, and a focus on long-term asset performance. These southern landlords aren’t standing still — they’re just playing a slightly different game.
The narrative around the North’s BTL resurgence is compelling but it shouldn’t overshadow the enduring strength of the South.
With the right advice, the right funding solutions, and a clear understanding of landlord goals, advisers have an equally important role to play supporting landlords across all regional areas.
As the market continues to evolve, regional balance, flexibility, and insight will be the keys to long-term success.
