How do landlords in London differ from the rest of the UK?

How do landlords in London differ from the rest of the UK?

Compared to the rest of the UK, landlords with properties in London have higher disposable incomes, are more likely to be full-time workers, and typically become landlords at a younger age, according to new CML research.

According to the 2014/15 English Housing Survey, 28% of dwellings in London are privately rented – with the capital having a higher proportion of privately renting tenants than any other English region.

In London, about 50% of landlords report at least £1,000 of monthly disposable income while, outside the capital, only one-third report this level of income.

London landlords are 27% more likely to be in full-time employment, and 37% less likely to be retired than landlords in the rest of the country.

They are are about 25% less likely to start out as an “accidental” landlord and 50% more likely to become a landlord after moving in with a partner who also owns their own home.


The average age of first-time landlords in London is 42, compared to 47 outside the capital.

When it comes to types of property owned, London landlords are more likely to let out flats. 79% own flats to let, while 47% have houses of some type. In the rest of the country, just 40% of landlords rent flats, while 84% rent houses.

The distribution of property ownership among landlords in London is similar to the rest of the UK. Some 60% of those in London own a single property, while a further 20% own two properties – mirroring the distribution in the rest of the UK. Likewise, about 10% of landlords in London own five or more properties, similar to the rest of the UK.

Landlords in the capital are also just as likely as those elsewhere to offer tenancies of more than 12 months. Almost 60% of UK landlords indicated that they would offer tenancies of longer than a year, with little variation across regions.

London landlords are marginally better informed of tax changes that will affect the private rented sector. This may reflect the higher incomes and wider prevalence of buy-to-let borrowing in London – particularly as those landlords would be most affected by proposals to reduce the amount of mortgage interest that can be deducted against tax.

The use of letting agents is more common in London, but London landlords are less likely to opt for full management through the agent.

Using a limited company structure is still fairly uncommon, both in and out of London. Only 6.2% of landlords in the capital are incorporated (or planning to become so), versus 2.8% outside London.

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Latest Comments

Tony Gimple
Tony Gimple 09 Dec 2017

Linking professionalism to limited company borrowing is a flawed concept. Despite S24 etc., limited companies are the most tax inefficient way of running a property business and leave borrowers seriously...

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Evelyn Attwood
Evelyn Attwood 01 Dec 2017

It's normal. If you plan to buy a house in one of the most beautiful spots in the country you should pay a high price.

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Evelyn Attwood
Evelyn Attwood 01 Dec 2017

I think that the situation will be the same at December.

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Scott Garnet
Scott Garnet 06 Nov 2017

If you have a patio or a porch it is important to make sure that any connecting doors are secured. Good advice for sliding glass doors is replacing the panels with storm resistant glass and getting heavier...

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richardrawlings
richardrawlings 01 Nov 2017

What has not been mentioned here is the effect of not only higher interest payments, but also that these payments are less likely to be offsettable as a business cost due to the scaling back of mortgage...

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Kelvin Lloyd
Kelvin Lloyd 09 Oct 2017

IT is up, to the Planners. If they will only give permission for bungalows on certain (suitable) sites, they will be built.

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maggie swift
maggie swift 09 Oct 2017

It's just the beginning of the shocking rise.

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maggie swift
maggie swift 09 Oct 2017

I have recently read that the bungalows can provide social housing for elderly residents in London.

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zoe glover
zoe glover 05 Oct 2017

Update! Worst company I have ever dealt with. Undervalued a Cambridge property by over 100k, wont take on any evidence of valuation including a RICS valuation done 3 years ago for the very same value...

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Paul Edwards
Paul Edwards 27 Sep 2017

Its nonsense articles such as this that make it harder to get clients to realise just how difficult the market is out there. When you see Rightmove and there are more 'price reduced' then 'new' most days...

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Tom Allen
Tom Allen 20 Sep 2017

Absolutely agree with you!

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RyanGeo
RyanGeo 18 Sep 2017

A sharp correction would be a less dramatic expression to use. That is already underway in certain sectors in Reading where I practice as Chartered Surveyor

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