Landbay’s Q3 2026 survey finds landlord confidence rising and a major remortgage opportunity building for advisers
Landlord confidence in the buy-to-let sector is rising despite mounting tax pressure, with more than a third still planning to expand their portfolios, according to new research from specialist lender Landbay.
The lender’s Q3 2026 survey of more than 2,000 landlords found 34% intend to purchase at least one additional rental property over the next 12 months — broadly in line with the 35% recorded in the previous quarter. The proportion expressing confidence in their own buy-to-let businesses climbed from 22% to 28%, while pessimism about the broader UK economy eased slightly, from 69% to 65%.
The findings land days after the Autumn Budget introduced a further two-percentage-point surcharge on property and savings income for individual landlords, taking effect from 6 April 2027 — a measure widely expected to accelerate portfolio reviews across the sector.
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Supply squeeze sustains yields
The persistence of landlord investment appetite is being underpinned by tight rental supply and resilient yields. Royal Institution of Chartered Surveyors (RICS) data, as cited by Realyse, recorded tenant demand at a net balance of +18% in June 2026 — the strongest reading since May 2025 — while landlord instructions remained stuck at -18%. That structural imbalance continues to protect returns for those who remain in the market.
The survey reflects this. Around 33% of landlords reported gross rental yields between 4% and 5.9%, while 20% achieved between 6% and 7.9%, and 9% reported yields of 10% or above. Meanwhile, 83% said they plan to raise rents over the next 12 months, up from 75% in the previous survey — a sign that landlords are actively managing income to offset rising costs.
Rob Stanton, Sales and Distribution Director at Landbay, acknowledged the data has a significant caveat. “These responses were gathered before last week’s Budget, which has introduced a further increase in the tax on property income for landlords holding properties in their personal names, and it will be interesting to see whether this changes investment intentions or confidence levels as we move into 2027,” he said.
Refinancing pipeline points to adviser opportunity
The survey’s most immediate implication for mortgage advisers is a substantial refinancing pipeline building in the market. Some 38% of landlords said they expect to take a new product with their existing lender when their current deal ends, while 21% plan to remortgage to a different lender. A quarter remain undecided — a group Stanton said represents a clear opportunity for proactive advisers.
“This represents a considerable opportunity for advisers over the next six to 12 months, particularly given the depth and breadth of mortgage products now available,” he said.
Mortgage interest rates were cited as the primary decision-making factor by 34% of landlords, closely followed by total cost of borrowing at 33%. Product fees were the main consideration for 11%. With the next MPC meeting on the horizon, rate expectations are set to shape those decisions in the near term.
Shorter fixed terms have gained ground. Two- and three-year fixes were the most popular choice among respondents at 46%, ahead of five-year products at 41%. Tracker appetite also rose, from 6% to 10%, suggesting a portion of landlords are positioning for further rate cuts rather than locking in now.
Advisers retain a strong grip on landlord clients
Despite the expansion of direct and digital lending channels, landlords continue to rely heavily on professional advice. Some 78% said they would use the same adviser again for their next buy-to-let mortgage. Knowledge of buy-to-let mortgage pricing and criteria was cited as the most valued quality by 66% of respondents, while 60% pointed to access to products not available directly.
Stanton said the result was an important signal for the intermediary market. “As an intermediary-only lender, it is also positive to see the continued value landlords place on advisers, particularly their knowledge of mortgage products and criteria, and their ability to access options which are not available directly.
“With a significant volume of existing buy-to-let borrowing due for refinancing over the coming months and years, we believe remortgaging and product transfers will remain an incredibly important part of the market, and our focus will be on ensuring advisers have the product choice and support they need to help their landlord clients make the right decisions.”
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