More than one in 10 private rental homes ‘now owned by company landlords’
More than one in 10 privately-rented homes in Britain is now let by a private company as the sector continues to “professionalise”, according to estimates.
London landlords are most likely to own a buy-to-let using a company structure, according to the research from Hamptons International.
In the first half of 2019, 12% of privately-rented homes across Britain were let by a company landlord – the highest proportion since 2011 when it was also 12%.
In London 13% of privately-rented homes were let by company landlords, according to Hamptons, which used its own data to make the calculations.
It estimates that company landlords own 641,480 homes in Britain – 42% more than in 2015 when an estimated 452,600 homes were let by company landlords.
Hamptons said the increase is due to the growing size of the rental sector – as well as an increase in the proportion of homes in this sector being let by company landlords.
Aneisha Beveridge, head of research at Hamptons International, said: “More than one in 10 rental properties are now owned by private companies, an indication that the sector continues to professionalise.
“Increasing taxation for private landlords combined with the growth of the build to rent sector has meant that more companies are letting homes than at any time since our records began.
“London, where landlords tend to have higher levels of debt and often the most to gain from corporate ownership, has the largest proportion of homes let by a company.
“However, it’s not always more profitable to put a buy-to-let into a company as other associated costs come into play.”
Here are the percentages of privately-rented homes let by company landlords by region, according to Hamptons International:
– London, 13%
– Scotland, 12%
– South (excluding London), 12%
– Midlands, 12%
– North, 11%
– Wales, 8%