Recent research from lettings technology platform Goodlord reveals that the pace of landlord exits in the UK is slowing, as many property investors take a cautious approach amid ongoing uncertainty in the private rented sector (PRS). While some landlords remain intent on selling, a growing number appear to be waiting to see how the market develops before making major decisions.
Survey Insights
Goodlord surveyed over 1,200 landlords across the UK to gain insight into the current state of the market. The results show that the majority of landlords are neither buying new properties nor offloading existing ones. Specifically, 72% of landlords reported maintaining their current portfolios without attempting to expand or reduce holdings.
Despite this cautious stance, a notable minority—24% of landlords—are actively selling part or all of their portfolios. This reflects ongoing pressures in the sector, including regulatory changes, higher costs, and economic uncertainty. However, this figure is lower than in September 2025, when 35% of landlords reported selling or attempting to sell properties, indicating a slight easing of the exodus trend.
Impact on Rental Inflation
The slowing of landlord exits is also reflected in rental inflation figures. According to Goodlord and additional data from TwentyCi, year-on-year rental inflation fell to 2% in February 2026, down from 4% at the same time in 2025. Fewer properties being listed for sale this year suggest landlords are pausing rather than leaving the market entirely, helping to stabilise supply and demand.
Small Numbers Expanding Portfolios
While some landlords are selling, only a very small proportion are actively investing in new properties. Just 4% of respondents reported acquiring new rental homes, which suggests that expansion within the PRS remains limited. The imbalance between those selling and those buying implies that overall, more landlords are reducing their presence than entering or growing within the sector.
Uncertainty Over the Long-Term
The survey also revealed uncertainty over landlords’ long-term plans. Around one-third (35%) of landlords said they do not expect to still be active in the market five years from now. Another 21% have yet to decide what their future in the sector will look like. Only 44% of landlords anticipate remaining in the market by 2031, with some of these expecting to manage smaller portfolios than they currently hold.
This long-term uncertainty highlights the broader pressures on the PRS. Regulatory changes, rising operational costs, and economic volatility continue to shape landlord decisions, making the sector’s future less predictable.
Conclusion
In summary, while the pace of landlord exits in the UK has slowed compared to last year, the market remains in a state of cautious pause. Most landlords are holding their current positions rather than making aggressive moves to buy or sell, reflecting ongoing uncertainty. Although the immediate exodus may have eased, the long-term outlook is still uncertain, and the composition of landlords in the coming years could shift significantly depending on regulatory, economic, and market conditions.
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