Nearly a third (32%) of buy-to-let (BTL) landlords intend to buy property in the next 12 months, Landbay has revealed.

In a recent survey by the mortgage platform, it was found that almost four out of five (78%) landlords said they are building their portfolio, with 38% citing an increase in the number of tenants.

Furthermore, 34% said they are swayed by a potential drop in house prices.

Landbay has found that the majority of those intending to buy are portfolio landlords, with 44% owning 11 or more properties, with 26% owning between four and 10 properties.

However, smaller landlords are also looking to purchase, with 30% owning one to three properties.

A higher proportion of landlords in the Midlands and the East of England have said they are looking to expand their portfolios in the next 12 months, with 46% of landlords in each region stating their intention.

This was followed by the 39% in the North and 23% in London and the South.

One in four (25%) BTL landlords said they were undecided on their future plans, although some said they were not actively looking, but would consider further purchases if opportunities arose.

The survey found 43% of landlords were not looking to buy property, with the main reasons being lack of funds, the rise in interest rates and Government intervention including the Renters Reform Bill.

Business development director at Landbay, Rob Stanton, said: “Despite the various pressures buy-to-let landlords are facing, there is still appetite for further house purchase. We know there is a big demand for rental property and this is one of the reasons landlords are actively looking to expand their portfolios. They are also keeping an eye on falling house prices and other landlords selling up.

“While it is true that higher interest rates are putting off some landlords, for others there are opportunities out there. This is more noticeable in the Midlands and the North of England, with the South, typically more expensive, proving less popular for property purchase.”

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