Why Stay in the PRS? A DIY Landlord’s Guide to Riding the Market Wisely

Still Standing: Why Some Landlords Are Staying Put

With a constant stream of regulation, taxation changes and media stories about landlords exiting the market, it’s easy to assume everyone is heading for the door. But not everyone is leaving. In fact, many landlords are digging in, adapting, and thriving.

Why

• Long-Term Gains: Property remains a long-term investment that generally appreciates in value over time. Even with ups and downs, capital growth over a decade or more is still attractive.
• Rising Rents: Average rents have risen significantly over the past 3 years. Many landlords are seeing better yields than ever before, particularly those who’ve owned property for a while and bought at lower prices.
• Hands-On Control: Self-managing landlords, especially those using platforms like Emoov, can keep costs low while staying closely connected to their tenants and properties.
• Diversification: Property is a tangible asset. For many, it’s a key part of a broader investment strategy alongside pensions and savings.

New Data Shows It’s Not All Doom and Gloom

Recent figures from UK Finance show that buy-to-let lending remained relatively stable in Q2 2025, with 49,590 new mortgages issued and £8.8bn in total lending value. Rental yields rose to 7.26%, up from 6.9% a year earlier, suggesting that returns are strong despite the pressures.

The Interest Cover Ratio (ICR)-which measures rental income against mortgage interest-improved to 210% from 192% the year before, reflecting better affordability and profitability. Even arrears are down, with 11,270 BTL mortgages more than 2.5% in arrears-560 fewer than in Q1.

Rising Yields and Resilient Returns

These trends reinforce what experienced landlords already know: if you're proactive and stay informed, the PRS can still deliver strong returns. The rental market is underpinned by demand, and landlords with well-managed properties are continuing to benefit from high occupancy and rising rents.

Key Considerations for DIY Landlords

If you’re managing your portfolio without an agent, keep these essentials in mind:

• Stay Up to Date on Legislation: The Renters (Reform) Act received Royal Assent in October 2025 and will introduce phased changes to tenancies, evictions, and property standards. Make sure you're reading trusted updates or subscribe to alerts.
• Claim the Right Expenses: Many landlords miss out on tax-deductible costs. Allowable expenses include:
• Mortgage interest (relief is restricted but still applies for basic-rate tax relief)
• Letting platform fees (e.g. Emoov costs)
• Insurance, repairs, cleaning, gardening, and service charges
• Legal and accountancy fees
• Travel related to property management
• Prepare for Making Tax Digital (MTD): From 6 April 2026, landlords earning over £50,000 will be required to submit digital records and quarterly tax updates via software. Getting your systems in order now can avoid panic later.
• Future-Proof Your Property: Energy efficiency requirements are tightening. Look at your EPC rating now and start budgeting for any improvements.

Think Twice Before Selling

It’s worth considering the full implications of selling:

• Capital gains tax may apply if the property has significantly increased in value
• Selling a tenanted property might limit your buyer pool unless marketed correctly
• You may lose out on future income and long-term equity growth

If your property is well-located, easy to let, and gives you decent returns, stepping away could be premature.

Final Thought

Being a landlord isn’t always easy-but it’s not all bad news. The PRS still offers strong fundamentals, especially for hands-on landlords who know their market, keep on top of compliance, and take a long-term view. Emoov's DIY platform gives you the tools to stay in control, reduce costs, and keep more of your income.

Don’t let the headlines spook you. If you're prepared to adapt, there’s still plenty to gain by staying in the game.

Image is from a property for let October 2025. A substantial contemporary family home, in an excellent location with fabulous views and easy access into Gillingham town centre. For more details see here.