The private rental sector in the UK is expected to see a further surge in landlord departures in 2026, following a volatile year that resulted in roughly 93,000 buy-to-let landlords exiting the market. According to LandlordBuyer, a mix of regulatory reform, financial strain and policy uncertainty is accelerating long-term change across the housing landscape.
Recent findings suggest the trend is set to continue. The English Private Landlord Survey indicates that a growing number of landlords are actively planning to reduce their exposure:
- 31% say they intend to cut the size of their rental portfolio
- 16% report that they are considering selling all of their rental properties within the next two years
The Renters’ Rights Act, introduced in late 2025, has significantly altered the operating environment. The removal of Section 21 ‘no-fault’ evictions has reassured tenants but has also pushed many landlords, particularly smaller operators, to reconsider their long-term position in the sector.
At the same time, high interest rates, stricter EPC standards and increasingly complex licensing requirements imposed by local authorities are adding cost and uncertainty, making it harder for landlords to sustain profitable rental businesses.
Jason Harris-Cohen, Managing Director at LandlordBuyer, comments: “The sector is reaching a critical tipping point. The 93,000 landlords who left in 2025 were just the start. What we’re seeing now is a wave of private landlords, particularly those with one or two properties, choosing to exit before legal, financial or regulatory risks increase further.
At LandlordBuyer, we’re seeing more landlords than ever looking to sell tenanted properties quickly, without going down the eviction route. Selling with tenants in place is becoming the norm, not the exception.”
This changing approach reflects rising demand for landlord exit solutions that avoid eviction and protect tenants, allowing properties to be sold with existing tenancies intact.
The knock-on effects could be significant. As rental supply continues to tighten, tenants in high-demand cities such as London, Bristol and Manchester may face increased competition and rising rents, particularly as rental prices continue to outpace earnings.
