“Professionalisation is more about mindset than scale. Landlords who invest in education, build strong support networks and set their property business up for sustainable growth can succeed, even as new entrants join the market.”
– Daryl Norkett – Shawbrook
PR: What are the biggest opportunities you see for landlords and investors in the current property market—and how can they capitalise on them?
DN: Over the last decade, the BTL sector has evolved from what many considered a relatively ‘passive’ investment to a more active one. This is in part due to the sector becoming increasingly professionalised, leading some ‘dinner party’ landlords to leave the market, whilst others are taking advantage of buying opportunities to grow their portfolios.
This business mindset is key to unlocking profitability in the sector, with landlords adding value by buying tired stock to refurbish or repurpose. Repurposed properties are popular choices, as value can be created through works and changes that improve rental yields, generating long-term profits.
The opportunities to earn greater returns are there for those willing to put in the effort to manage them. Houses in Multiple Occupation (HMOs) are a great example of this growth in action.
Overall, landlords and investors are well placed to take advantage of the range of support, information and partnerships available, giving them the chance to pursue higher-value opportunities.
PR: How has investor behaviour changed over the past year, and what trends do you expect to shape the sector in 2026?
DN: Many of the trends we’re seeing are driven by the resilience of investors, who are adapting to economic and property market challenges over the past year. For example, persistently high interest rates have driven continued growth in higher-yielding investments such as HMOs, semi-commercial properties and fully commercial assets.
HMOs, in particular, have become increasingly popular as they help reduce risk and loss of cash flow by relying on multiple tenants.
Another recent trend is the growth of social housing, where private landlords are working with operators or local authorities to provide temporary accommodation, for example. It’s perhaps not spoken about as much since the pandemic, but short-term lets also remain a viable strategy for the right operating model and locations.
In a similar vein, bridging finance is being used more frequently as a strategic tool. Investors can negotiate purchases with greater confidence, complete more quickly, and take on properties requiring refurbishment, extension or conversion.
We’re also continuing to see landlords shift towards investing through limited company structures. Whilst this is by no means a new trend, we expect it to continue growing throughout 2026 and beyond.
Taken together, these trends highlight how landlords are seeking to generate greater income and value to offset higher costs, whether from tax, compliance or interest rates.
PR: What’s your view on the shift toward professionalisation in the landlord sector, and how can smaller investors stay competitive?
DN: Professionalisation is more about mindset than scale. Landlords who invest in education, build strong support networks and set their property business up for sustainable growth can succeed, even as new entrants join the market.
In fact, some of the best opportunities are well-suited to smaller investors, who can thrive where institutional players may struggle. This includes those with strong local knowledge or those who live close to their properties and can take a more hands-on approach.
PR: Where do you think landlords should be focusing their attention right now—whether it’s location, property type, or tenant demographics?
DN: Landlords should always prioritise being well-informed, and this extends to making deliberate decisions about where and how they deploy their time and capital. That might mean focusing on a particular tenant group, property type or location.
For example, landlords with experience in student housing or strong local knowledge should lean into these strengths to execute a strategy that manages risk while supporting sustainable profitability. It’s less about any single “winning” strategy and more about leveraging individual advantages effectively.
PR: If you could give one piece of advice to landlords looking to grow or future-proof their portfolio, what would it be?
DN: Get out there. Property can sometimes feel like a solitary business, but there are plenty of opportunities to connect with others in the industry. Doing so not only helps build partnerships and generate new ideas but also exposes you to different strategies and ways of thinking.
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