9:44 AM, 26th May 2026, 22 minutes ago
Landlords with larger portfolios are still looking to buy despite the Renters’ Rights Act, higher costs and uncertainty over the economy, research reveals.
Handelsbanken’s fifth annual Property Investor Report found that 84% of professional property investors plan to increase their holdings over the next year.
That’s up from 54% in last year’s survey.
The report, based on a survey of 200 UK real estate investors, property management professionals and landlords, was carried out after the start of the Iran war.
It found that 93% of respondents expect their portfolio value to rise over the next 12 months, while only 1% said they intend to leave the market entirely within a year.
Landlords adapting to change
The bank’s chief UK economist, James Sproule, said: “Our survey suggests there has not been a notable exodus of professional investors from the UK property market.
“Instead, landlords are adapting to a more challenging environment by becoming more selective, more operationally disciplined and more focused on scale.”
He added: “The Renters’ Rights Act, higher costs and geopolitical volatility are all making property investment more complex.
“That does not mean professional investors are walking away, but it does mean the sector is likely to look different, with larger and more strategic landlords better placed to absorb cost, manage risk and take advantage of opportunities.”
Landlord buying opportunities
The report also found that among investors planning to expand, 70% pointed to buying opportunities or valuations.
Another 58% pointed to strong rent demand, while 33% cited financing availability.
The figures come after repeated warnings that new regulation could accelerate a landlord exit from the private rented sector.
However, Handelsbanken said professional landlords are adapting rather than retreating, with many becoming more selective about tenants.
They are also more focused on property standards and more disciplined in how they grow.
Tenant criteria tightened
In response to the Renters’ Rights Act, 59% of respondents said they are tightening tenant selection criteria.
Another 56% said they are investing more in property condition or amenities, while 44% are considering raising rents earlier than planned.
Just over a quarter, said they are considering selling some or all of their properties.
Only 3% said they are shifting their focus to a different sector.
