The top reason for building a property portfolio was ‘long-term rental demand’, which six in ten landlords (60%) cited as a key factor in their decision.
The next most popular answer was ‘retirement income’, as over half of respondents (54%) said they plan to add properties to their portfolio to supplement their retirement income.
Nearly half of the surveyed landlords (47%) said that long-term house price growth has influenced their decision to grow their investment portfolios, and over a third (34%) stated they prefer property over other investment options.
Louisa Sedgwick, Paragon Bank’s Managing Director of Mortgages, said: “The rental market is set for continued growth, driven by projected population increases of around 10% over the next decade. This favourable market outlook is underpinning the investment decisions of aspiring landlords.”
“The research also demonstrates a clear focus on long-term planning, with over half of landlords building portfolios to support their retirement. This indicates a strong commitment to the rental sector and is essential for the overall health of the private rented market.”
