Two out of three landlords say they will be driven to raise rents by 10% and nearly half say the job’s harder than this time last year, research from Aldermore reveals.

Despite the glum news for tenants more than half (54%) of landlords are still felling optimistic about the future with two out of three (66%) also stating that being a landlord remains a good way to make money.

INFLATION

With record levels of inflation, the cost-of-living crisis and housing market volatility, nearly half (48%) have been unable to expand their property portfolio and looking ahead, two out of five (42%) will even consider downsizing if market conditions continue as they are.

In a bid to maximise returns in the current environment, four out of 10 (42%) say that if they were to look at expanding their portfolio, they’d purchase as a limited company.

SUSTAINABILITY

Six out of 10 landlords (58%) say that the sustainability and energy efficiency of their property portfolio is a priority for them and more than half (53%) are planning to carry out property improvements in the next 12 months to improve the energy efficiency of their portfolio.

With the cost-of-living crisis the outlook for 2023 seems tricky to predict.”

Jon Cooper, head of mortgages at Aldermore, says: “2022 was marked by troubling developments to the economy and the property market has faced some significant challenges. With the cost-of-living crisis already impacting tenants, homeowners and landlords alike, the outlook for 2023 seems tricky to predict.”