Confidence among UK landlords has strengthened sharply over the past year, according to new research from Rely.
The lender’s annual Landlord Leaders 2025 study shows that six out of 10 (62%) landlords now describe themselves as optimistic about their future in the private rented sector, up from just under half (47%) a year earlier.
The increase marks a significant turnaround in sentiment following rising interest rates, tighter regulation and ongoing affordability pressures for tenants.
Although structural challenges remain, fewer landlords are actively reconsidering their involvement in the market. The proportion who say that they are concerned and reassessing their future as a landlord has fallen to just one in four (24%), down from just under a third (29%) in 2024. The number expressing outright pessimism has also declined.
BUSINESS READJUSTMENT
The findings suggest that, rather than retreating, many landlords are adjusting their business models to operate within a more demanding environment.
Higher borrowing costs, evolving compliance requirements and tenant affordability constraints continue to weigh on margins, but sentiment data points to greater resilience across the sector.
The study also shows a strong sense of role and responsibility among landlords.
The study also shows a strong sense of role and responsibility among landlords. Almost two-thirds – 62% – say they believe they provide a vital service by housing those in need, underlining the continued importance of the private rented sector in meeting housing demand across the UK.
With rental demand remaining elevated in many regions and supply still constrained, the improvement in confidence may signal a period of relative stability for a market that has faced sustained headwinds in recent years.
CONFIDENCE IS RETURNING
Adrian Moloney (main picture, inset), Group Lending Distribution Director, Rely Mortgages, part of OSB Group, says: “We are seeing a clear shift in sentiment in the buy-to-let space.
“Confidence is returning as landlords adapt to a new operating environment. This is a sector that is becoming more professional, more informed and more deliberate in how it responds to change.
“Rising optimism reflects landlords taking control of their businesses, seeking advice, planning for the long term and focusing on sustainability rather than short-term reactions. That matters not just for landlords themselves, but for brokers, lenders and tenants who all rely on a stable and functioning private rented sector.”
