Editor's note: This brief was summarised by The Property AI Newsroom from a report by Mortgage Solutions. Read the original article for full details.

Professional Landlords Drive Demand for Specialist Lending Options

The private rented sector (PRS) and buy-to-let (BTL) market are seeing a rise in professional landlords, leading to increased demand for specialist lending solutions. Recent research from Pegasus Insight highlights that landlord portfolios are growing, with more landlords treating property investment as a business.

According to Pegasus Insight’s Landlord Trends research, the average landlord portfolio has increased to 7.3 properties. The data also shows that 21% of landlords now describe themselves as full-time or self-employed, up from 17% at the end of the previous year. The findings suggest that landlords are responding to changing regulatory and tax policies by adopting a more business-focused approach.

Limited company landlords are a key driver of this trend. Their average portfolio size has grown to 15.3 properties, up from 12.8 at the end of 2025, with around two-thirds of their holdings structured within a corporate entity.

Refinancing is also a significant factor, with around 40% of landlords expecting to remortgage in the coming year. This figure rises to 56% among those with at least four BTL mortgages. Portfolio landlords are nearly twice as likely as smaller landlords to be actively seeking refinancing opportunities.

Mark Long, founder and managing director of Pegasus Insight, noted that the PRS is becoming more professional and sophisticated, with fewer landlords treating property as a side investment. He stated that this shift has significant implications for the mortgage market, as larger landlords often have more complex borrowing needs and require specialist lending and refinancing support.

For UK letting agents and inventory clerks, these trends indicate a shift towards working with larger, more business-oriented landlords who may have more complex property management and compliance requirements.