A recent survey conducted by Aldermore sheds light on the preferences of landlords, revealing that a significant majority, 79%, opt to engage tradespeople located near their rental properties. This local-centric approach translates into an average annual expenditure of £6,003 per landlord, underlining the importance of neighborhood businesses in the landlord sector.

The survey highlights the most sought-after local services, with electricians and plumbers being the top choices at 52% and 50%, respectively. Handymen follow closely behind at 34%, with a smaller proportion, around 15%, engaging local interior designers and structural engineers, and 14% using local architects for property-related matters.

The motivation behind this preference for local services appears to be twofold. A notable 37% of respondents cite a desire to support the local economy, while 34% express a reliance on local services due to their perceived trustworthiness and reliability.

However, the survey also reveals challenges facing landlords in the current economic climate. Three in five landlords are considering downsizing their portfolios due to a combination of factors such as high interest rates, falling house prices, regulatory changes, and cost-of-living pressures. Additionally, 63% of landlords find it more challenging to operate in the current year compared to the previous one, despite a surge in tenant demand, which 73% of landlords have experienced over the past year.

Despite aspirations for portfolio expansion, nearly two-thirds of landlords feel constrained by prevailing market conditions. Concerns about declining property quality loom large, with 69% of landlords anticipating adverse effects if private landlords exit the market en masse.

In contrast, 71% of private renters view the private rental sector as essential for meeting the UK's housing demand. Jon Cooper, Head of Mortgages at Aldermore, acknowledges these findings within the broader context of market dynamics:

“Amid a backdrop of ongoing market challenges – from high interest rates through to regulation changes – some landlords are considering downsizing their portfolios.

“However, there will be plenty of larger-scale, professional landlords that will instead look to purchase more buy-to-let properties.

“This should, over time, provide useful ballast to the private rental sector.

“Landlords remain absolutely vital to addressing the UK’s housing demand. Our data shows they’re generous contributors to their local economies as well.

“Whilst they sometimes get a bad press, there are so many good landlords out there making a really positive difference.”