Undeterred by uncertainty in the property market, more than half of larger portfolio landlords are planning to buy more properties this year.
That’s according to a survey of investors and property management agents by Nordic bank Handelsbanken.
It reveals that 54% want to expand their portfolios over the next 12 months, and 80% expect their portfolios to increase in value. Nearly three quarters (73%) are considering an investment in a different area of the country.
Not all optimism
It’s not all optimism though, with 24% of investors intending to reduce or dispose of properties in 2025.
And only 14% expect significant value growth, down from 31% in 2024 and 39% in 2023.
The good news is that this is still a sector with plenty of appetite for growth.”
Chris Teasdale, Chief Branch Officer at Handelsbanken, says: “The results of this year’s report show an industry that still has plenty of optimism and potential, even in the face of uncertainty, challenge, and change.
“Whatever the wider economic backdrop, the good news is that this is still a sector with plenty of appetite for growth.”
Top spot
London returns to the top spot as the most attractive investment location (46%), which marks a significant shift from 2024, when it fell to fifth place.
The East of England remains a strong contender at 42%, buoyed by high yields and economic growth in areas like Cambridge.
Mixed response
The report also examines legislative impacts, such as the Renters’ Rights Bill and EPC reforms.
While 36% view EPC changes positively and 56% see no effect, the Renters’ Rights Bill gets a mixed response, with 36% positive, 48% neutral, and 12% negative.