Editor's note: This brief was summarised by The Property AI Team from a report by Property118. Read the original article for full details.
Landlord Confidence Falls Despite Rising Profitability
Landlords are more likely to be making a profit than they were 15 years ago, yet fewer than a quarter are confident about their business prospects. That is according to research from Pegasus Insight, as reported by Property118.
The research found that 23% of landlords were confident about the future of their letting business, down from 63% in 2011.
What the figures show
Profitability and sentiment have diverged. While landlords are more likely to be making a profit than they were 15 years ago, confidence about the future of letting businesses has fallen sharply over the same period.
According to the research, 23% of landlords expressed confidence in their business prospects. In 2011, the equivalent figure stood at 63%.
Relevance for letting agents and inventory clerks
The findings point to a landlord base that, despite improved profitability, is markedly less assured about the future than it was in 2011. For letting agents and inventory clerks, that gap between financial performance and confidence is a useful signal when engaging with landlord clients about their plans and expectations.
The research does not set out the reasons behind the decline in confidence, and Property118's report does not attribute the shift to specific causes.
Further detail is available in the original report.
Source: Property118