The Welsh rental market is contracting as smaller landlords reportedly leave the sector, while larger landlords are increasing their presence. Data from the Rent Smart Wales register for May 2026 shows a decrease in both registered properties and landlords.
During May 2026, the number of registered properties in Wales fell by 532, bringing the total to 213,463. Over the same period, the number of registered landlords dropped by 290, resulting in a total of 100,422.
The data indicates that nearly 70% of landlords in Wales own only one property. In contrast, 5% of landlords, who own six or more properties, control a third of the rental properties in Wales.
Propertymark has warned that small landlords may struggle with rising costs and has urged the Welsh government to provide more support. The industry body suggests that a healthy rental market requires landlords of various sizes and has called for a review of the cumulative impact of tax and regulatory changes on private landlords.
Rent Smart Wales issued over 3,000 fixed penalty notices in the last 12 months for failures to register or obtain the correct licence. Registration and licensing failures accounted for 96% of penalties issued in May 2026.