Confidence among landlords is declining, with more than half of respondents (54.6%) in the Property118 Q3 2026 Landlord Sentiment Survey now expecting property values to stagnate or fall below inflation over the next three years. This marks an increase from 48.7% in the previous quarter.
The survey, which included 1,654 participants, also found that almost three-quarters (73.6%) of landlords are not confident about the outlook for the private rented sector over the next three years. Only 10.9% expressed confidence.
Intentions to sell or leave the sector remain high, with 65.6% of landlords planning to sell one or more properties or exit completely within the next three years. This figure is broadly unchanged from 67.7% in Q2. Only 6.8% of landlords expect to buy new properties.
The survey suggests that policy, rather than market conditions, is driving these decisions. Landlords cited tax, regulation, and the balance of rights between landlord and tenant as key factors influencing their plans to sell or stay in the sector.