Why would anyone want to be a landlord?

This question comes across my desk more times than I can count. Whether it be from prospective landlords, or current clients who are considering their options in an ever-changing market, people are nervous and looking for reassurance. Below are a couple of key points worth considering before making any decisions.

Property is still a strong investment
The figures from UK finance confirmed (at the time of writing) the average interest rate on new buy-to-let mortgages is 4.87%, which is a promising drop from 5.21% last year.  Property is a great long-term investment, providing passive income and capital growth. With any property you purchase as a buy-to-let, you must decide whether the yield is attractive enough to take the plunge.  With Zoopla quoting average yields for the South East of England at 5.5%, this is definitely the case. 

Increased tenant demand
First-time buyers are facing a bigger squeeze when it comes to affordability.  Their relief on stamp duty was rescinded at the start of 2025; couple this with the average deposit for the South East currently standing at a whopping 23.3%, buying your first property requires a big savings pot.  With these obstacles, many will resort to renting for longer before they have the funds needed to get onto the property ladder.  If no further relief is introduced to assist with these challenges, rental properties will be needed more than ever.

Renters' Rights Act
The newly introduced Renters' Rights Act will create some uncertainty.  The abolition of Section 21 eviction notices, the ending of fixed term tenancies and price bidding wars – to name a few – mean that landlords must adhere to a new status quo, or face consequences. Landlords are concerned their properties will no longer be in their hands, but this couldn’t be further from the truth.  Having an estate agent who is well equipped and ready to handle the new changes is paramount. Ensuring you have a thorough tenant vetting process, alongside current market knowledge, will ensure your property, and your tenants, are continuously being taken care of.

Taking all factors into account, being a landlord can seem like an uncertain road. However, ensuring you are backed by an experienced and qualified managing agent can put any queries to rest.

At White & Sons, we are here to assist with upcoming changes and ensure you are as compliant and well informed as possible.  Give our office a call if you wish to discuss further, as we are happy to assist!


Source:
Rightmove 
Zoopla
Unbiased

Photo by Jakub Żerdzicki on Unsplash