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Millennials Now Make Up Half of New UK Buy-to-Let Companies as Investors Shift North

Tax advantages of company structures are drawing new landlords toward higher-yield regions.

Overview

  • Hamptons estimates millennials will create 33,395 buy-to-let companies in 2025, a 142% rise on 2020, taking their share of new incorporations to 50%.
  • Three-quarters of shareholders in newly formed landlord companies are under 50, while baby boomers account for about 7% of new firms.
  • Landlords bought 11.3% of homes in Q3, with the North East taking 28.4% of investor purchases versus 8% in London, reflecting a move to lower-cost, higher-yield markets.
  • Average rents for newly let homes fell 0.3% in the year to September, led by a 2.7% drop in London and a 4.6% fall in inner London, while renewed tenancies rose 4.6%.
  • One in five new buy-to-let companies this year are owned by non-UK nationals, with Indian and Nigerian investors leading activity outside London.