Landlords are leaving buy-to-let in record numbers
The buy-to-let exit is speeding up. After roughly 93,000 landlords left the sector in 2025, industry forecasts point to around 110,000 more selling up in 2026 — and surveys suggest about 41% of landlords say they’re likely to sell within the next twelve months.
We’re David and Jason — landlords ourselves, buying homes across South Wales — so we’re watching this shift closely. Here’s what’s driving it, and what it means if you’re weighing up your own exit.
Why so many landlords are selling
It’s rarely one thing. For most, the sums simply stopped adding up:
- Section 24 stopped landlords deducting mortgage interest before tax — you’re taxed on the rent, then handed a flat 20% credit. For higher-rate taxpayers especially, that can turn a modest profit into a loss. (We explain Section 24 in full here.)
- Higher mortgage costs at remortgage time, stacked on top of that 20% cap, have squeezed yields hard.
- The Renting Homes (Wales) Act and its tighter obligations add cost and admin for Welsh landlords.
- Stricter EPC requirements threaten expensive upgrades on older rental stock.
Put together, a lot of landlords have decided the returns no longer justify the risk and the work.
What it means in South Wales
Expect more rental properties coming to the market over the year as landlords act on those intentions — some with tenants still in place, some being sold with vacant possession. For anyone thinking of exiting, the practical question isn’t really whether to sell, but how to sell without losing months of rent to a drawn-out process.
Your options if you want out
- Sell with vacant possession. Give notice, wait out the void, then sell on the open market. It can achieve a higher price, but you carry the void, the costs and the uncertainty of a chain.
- Sell with tenants in situ. Keep good tenants on and sell the property as a going concern — no eviction, no void. (Here’s how that works.)
- Sell quickly for a fixed price. We buy tenanted or vacant rentals across South Wales — single properties or whole portfolios — at a fixed price and date, even with arrears or work needed, with rent continuing to completion.
This is general information, not tax advice — speak to an accountant about your own position.
Want a free offer on a rental or portfolio?
House Buyers Wales are South Wales’ #1 Trusted Property Cash Buyers — rated 5-stars by hundreds of real home sellers.
Don’t take our word for it: Read real customer reviews for House Buyers Wales →
Get your free cash offer → — 30 second enquiry form, no commitment, no pressure.
Or call 02920 001331 to speak to David or Jason, not a commission salesperson.
Related:
