Sentiment among landlords is stabilising as they are set to make clearer decisions about their portfolios, according to the latest research from Landbay.
In the survey, 41% of landlords described their sentiment as neutral with 22% positive and 37% negative.
However, landlords were less confident in the outlook of the UK economy with the majority — 69% — feeling negative about this, with only 4% being positive.
Landlords are now becoming more decisive about their portfolios.
Landbay found just over half (52%) said they do not currently plan to purchase additional properties while 35% are planning to do so.
Selling intentions remain consistent with previous surveys from Landbay which suggests an ongoing portfolio reshaping rather than a large-scale exit from the PRS.
Many landlords continue to report solid returns. Over a quarter (27%) are achieving gross yields between 4-6%, with 22% reporting yields in the 6% to 8% range.
At the same time, rents are continuing to move, with over 75% of landlords planning increases of some kind over the next 12 months.
Additionally, landlords continue to favour fixed-rate products with 87% preferring these over tracker products.
Five-year fixes remain the most popular choice, with 47% of landlords opting for these products.
“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,” said Rob Stanton, sales and distribution director at Landbay (pictured above).
“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.”
