Buy-to-let investors navigating the 2026 property market face markedly different conditions depending on where they're looking to acquire, with stock levels reaching an 8-year high while buyer competition remains 10% below last year's strong opening.
Analysis from Zoopla shows the average estate agent started January with 32 homes for sale, the highest level since 2018. For landlords seeking to expand portfolios, this translates to greater choice but also heightened competition from owner-occupiers in a market showing renewed activity after a sluggish final quarter in 2025.
The investment landscape varies dramatically by region. London recorded a 16% increase in available stock compared to last year, followed by the South East at 9%. Budget uncertainty through late 2025 particularly affected southern regions, stalling sales and pushing more properties into 2026. This oversupply has created downward price pressure, with southern England seeing values drop by up to 1% over the past year.
By contrast, other UK regions show stock levels broadly unchanged from 2025, generating scarcity that supports price growth. The North West has seen values rise by up to 3%, presenting a contrasting scenario for investors weighing acquisition strategies.
Buyer demand has rebounded strongly after Christmas, tracking in line with early 2024 levels. However, this uptick remains 10% behind the exceptional start to 2025, when stamp duty relief changes and lower mortgage rates drove unusually high activity. Current demand sits over 20% ahead of 2023 and pre-pandemic years (2017-2019), indicating sustainable market engagement that Zoopla expects to strengthen further.
For buy-to-let investors, the gap between 2025 and 2026 demand levels suggests slightly less competition than the previous year's frenzied start, though substantially more than historical norms. Around 33% of current stock represents properties relisted after initially appearing in 2025, potentially offering negotiating opportunities.
"After a sluggish end to 2025, it is positive to see a strong rebound in buyer demand over the first weeks of the year across all parts of the country," said Richard Donnell, executive director at Zoopla. "Growing numbers of homes for sale are evidence of a strong underlying appetite to move home for many households. Market conditions vary widely across the UK, and sellers looking to move home in 2026 need to take this into account when planning their home move."
"Across much of southern England, there is a much greater choice of homes for sale," Donnell explained. "Buyers are price-sensitive and have more choice, so achieving the best result depends on setting a competitive asking price and attracting early interest. Homes priced too high often take longer to sell, and at the risk of achieving a lower price. It is important that homeowners price carefully and seek the advice of agents to plan the right strategy for their home sale."
"Across the rest of the country, there is a degree of scarcity, but sellers need to remain realistic over pricing," Donnell added. "The market is stable rather than booming. Buyers are active but careful, which means pricing correctly from the outset is crucial. Homes that are well-presented and realistically priced continue to sell, while those priced optimistically will take longer and may need price reductions to attract interest."
The divergent regional picture suggests landlords need location-specific strategies rather than a one-size-fits-all approach to 2026 acquisitions. Southern oversupply may favour buyers willing to negotiate in softer markets, while northern scarcity rewards those able to move decisively on well-priced opportunities.
Buy-to-let investors navigating the 2026 property market face markedly different conditions depending on where they're looking to acquire, with stock levels reaching an 8-year high while buyer competition remains 10% below last year's strong opening.
Analysis from Zoopla shows the average estate agent started January with 32 homes for sale, the highest level since 2018. For landlords seeking to expand portfolios, this translates to greater choice but also heightened competition from owner-occupiers in a market showing renewed activity after a sluggish final quarter in 2025.
The investment landscape varies dramatically by region. London recorded a 16% increase in available stock compared to last year, followed by the South East at 9%. Budget uncertainty through late 2025 particularly affected southern regions, stalling sales and pushing more properties into 2026. This oversupply has created downward price pressure, with southern England seeing values drop by up to 1% over the past year.
By contrast, other UK regions show stock levels broadly unchanged from 2025, generating scarcity that supports price growth. The North West has seen values rise by up to 3%, presenting a contrasting scenario for investors weighing acquisition strategies.
Buyer demand has rebounded strongly after Christmas, tracking in line with early 2024 levels. However, this uptick remains 10% behind the exceptional start to 2025, when stamp duty relief changes and lower mortgage rates drove unusually high activity. Current demand sits over 20% ahead of 2023 and pre-pandemic years (2017-2019), indicating sustainable market engagement that Zoopla expects to strengthen further.
For buy-to-let investors, the gap between 2025 and 2026 demand levels suggests slightly less competition than the previous year's frenzied start, though substantially more than historical norms. Around 33% of current stock represents properties relisted after initially appearing in 2025, potentially offering negotiating opportunities.
"After a sluggish end to 2025, it is positive to see a strong rebound in buyer demand over the first weeks of the year across all parts of the country," said Richard Donnell, executive director at Zoopla. "Growing numbers of homes for sale are evidence of a strong underlying appetite to move home for many households. Market conditions vary widely across the UK, and sellers looking to move home in 2026 need to take this into account when planning their home move."
"Across much of southern England, there is a much greater choice of homes for sale," Donnell explained. "Buyers are price-sensitive and have more choice, so achieving the best result depends on setting a competitive asking price and attracting early interest. Homes priced too high often take longer to sell, and at the risk of achieving a lower price. It is important that homeowners price carefully and seek the advice of agents to plan the right strategy for their home sale."
"Across the rest of the country, there is a degree of scarcity, but sellers need to remain realistic over pricing," Donnell added. "The market is stable rather than booming. Buyers are active but careful, which means pricing correctly from the outset is crucial. Homes that are well-presented and realistically priced continue to sell, while those priced optimistically will take longer and may need price reductions to attract interest."
The divergent regional picture suggests landlords need location-specific strategies rather than a one-size-fits-all approach to 2026 acquisitions. Southern oversupply may favour buyers willing to negotiate in softer markets, while northern scarcity rewards those able to move decisively on well-priced opportunities.
