The UK’s buy-to-let (BTL) market never stands still. It is subject to numerous factors – from policy and regulation to macroeconomics and geopolitics – which influence how landlords’ investments perform, and how they manage their portfolios.
This past year, the implementation of the Renters’ Rights Act, the conflict in Iran, a change in Prime Minister and uncertainty over the direction of the Bank of England’s base rate have all presented marked challenges to landlords. Adaptability has become a watchword.
As a specialist lender to BTL investors, we know how important it is to remain abreast of the shifts taking place in the market. It shapes the way we work with brokers and their clients, and it informs the way we structure and improve our products.
With that in mind, here are some valuable insights into how landlords are navigating change in 2026, and what this might mean for brokers.
Landlords becoming more professionalised
One trend that has become apparent in recent years, and has continued in 2026, is the move towards larger portfolio landlords.
According to the latest Landlord Trends research from Pegasus Insight, the average UK landlord portfolio in the UK has increased to 7.3 properties. Meanwhile, 21% of landlords now describe themselves as full-time or self-employed landlords – that’s up 4% on 2025’s figure.
This data echoes the findings of the latest English Private Landlord Survey, which found that while 17% of landlords now own five or more properties, they account for almost half (49%) of all private tenancies.
Evidently, landlords with small portfolios, including ‘accidental landlords’ and those who own just a single BTL property, are becoming rarer. This has been driven, in part at least, by the tax reforms and new regulation that have been introduced over the past decade, which has meant that BTL properties can no longer be viewed as passive investment assets.
For brokers, this shift will translate into different types of deals landing on their desks. Larger portfolio landlords often require financing – or refinancing – as they restructure those portfolios, with loans secured against multiple assets, or with exit plans that involve selling one or more of their properties. This requires a more bespoke approach from lenders; and at RAW, we pride ourselves on taking a view of a landlord’s entire portfolio and their objectives when assessing an application.
Limited companies now the norm
Another byproduct of tax reforms over recent years has been a rise in the number of landlords who buy through a limited company.
New industry data shows that limited company ownership now accounts for 45.1% of BTL properties in the UK. What’s more, for those with 20 or more properties, 57.6% now operate through limited company structures.
For context, the number of BTL companies registered in the UK reached 443,272 in 2025. That is nearly five times higher the number of such companies that existed in 2016 (91,278), while year-on-year there was an 8% uptick in new registrations in 2025.
Again, as this trend continues, brokers will increasingly need to work with lenders well placed to lend to limited companies, or indeed other structures such as special purpose vehicles (SPVs) or trusts.
Talks of an ‘exodus’ are unfounded, even though challenges remain
For many years now there have been suggestions in the media that there will be an “exodus” of landlords from the BTL sector. The reality is very different; data shows a 1% dip between 2024 and 2025 in the number of landlords declaring rental income.
But landlords’ priorities and portfolios are constantly changing. New research from lettings and estate agent Benham and Reeves underlined this point – it found that 63% of landlords intend to maintain their portfolio at its current size over the next 12 months. Just 4% intend to expand their portfolio, while 13% intend to reduce their holdings (the rest were unsure).
All this data is a reminder of how dangerous it can be to treat landlords as a homogenous group of people. Property investors naturally have different strategies, needs and outlooks, which in turn informs whether they will look to buy, sell or hold assets. For some, the regulatory and fiscal challenges of recent years will undoubtedly have made them reconsider their real estate holdings; but for others, there are still clear ambitions to maintain or grow their portfolios.
Personalised service is key
Landlords and brokers, therefore, require a more personalised service from lenders. Rigid application criteria can easily lead to a ‘computer says “no”’ situation – instead, more flexibility is required.
At RAW Capital Partners, we have built our proposition around the variety and nuance we see across the BTL sector. We assess every case on its merits, considering the borrower, the structure and the asset in the round rather than relying on a tick-box approach.
With a new bridging loan range to complement our existing BTL mortgages, we have never been better placed to find a solution that works for our clients.
So, as BTL investors continue to navigate change, we are ready to support them and their brokers.