Survey reveals landlord optimism despite challenges from recent Budget
Landlords believe the upcoming change to the stamp duty threshold could encourage tenants to stay longer and potentially drive greater demand for rental properties, according to a new survey by buy-to-let lender Landbay.
The survey asked landlords how the government’s decision not to extend the temporary stamp duty threshold for buyers beyond March 2024 might impact the rental market. Almost half, or 49%, of respondents said they expected tenants to stay in rental properties for longer, while 35% anticipated an increase in demand for rentals.
Landlords with medium-sized portfolios were particularly optimistic. Of those who predicted increased demand, 30% owned between four and 10 properties, and 24% owned 11 or more. Regional breakdowns showed that 41% of landlords expecting increased demand were based in London and the South East.
Rob Stanton (pictured), sales and distribution director at Landbay, highlighted the positive implications of the change, which has offered a glimmer of hope for landlords following a Budget that many found disappointing.
“The threshold change has given landlords cause for optimism in what is an uncertain time,” Stanton said. “But it is worth remembering that the market is incredibly resilient as it is. Demand for decent rental properties already continues to outstrip supply, with many tenants ready and willing to rent across the country.”
Stanton added that while some landlords remain cautious, others are actively exploring new investment opportunities.
“We would not be surprised if the threshold change gives the market a further boost,” he said.
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