Research conducted by The Mortgage Lender (TML) reveals that 25% of landlords prioritize energy efficiency when expanding their investment portfolios, despite recent relaxation of energy efficiency standards for buy-to-let (BTL) properties by the government.

Landlords consider various factors in their decision-making process, with price (48%), expected rent yield (29%), and long-term investment potential (23%) being significant considerations. Additionally, location attractiveness (29%), favourable council tax banding (17%), move-in readiness (16%), and interior layout (16%) are taken into account.

Regarding property acquisition strategies, 24% of landlords opt for individual investment with a mortgage, while 22% prefer cash purchases. A smaller percentage consider purchasing through a limited company with a mortgage (10%), or joint investment with a mortgage (11%).

Mortgage rates remain a critical concern for landlords, with 77% citing mortgage rate as a key factor in their decision-making process. Other factors include borrowing amount flexibility (76%), discounts on fees (72%), criteria flexibility (72%), and lender support (70%).

Chris Kirby, head of sales – Midlands, South & specialist distribution at The Mortgage Lender, commented on the findings: “It’s encouraging to see that BTL landlords are continuing to adapt and shift their priorities… It shows just how committed many landlords are to staying ahead of the curve and anticipating tenant expectations.”