Approximately 93,000 buy-to-let landlords exited the market during 2025, according to estimates from property purchasing firm LandlordBuyer, as regulatory reform and financial pressures reshaped the economics of private renting.

The firm says the pace of exits is unlikely to slow, pointing to findings from the latest English Private Landlord Survey which suggest that a significant proportion of landlords are actively planning to reduce their exposure to the sector.

The survey shows that 31% of landlords intend to shrink the size of their portfolios, while 16% say they are considering selling all of their rental properties within the next two years.

LandlordBuyer says that much of the pressure has been attributed to the Renters’ Rights Act, which came into force in late 2025 and removed Section 21 ‘no-fault’ evictions. While the change was designed to strengthen tenant protections, it has altered the risk profile for landlords, particularly those operating on a smaller scale.

These legislative changes have landed alongside higher interest rates, tighter energy efficiency requirements — including minimum EPC standards — and expanding local authority licensing schemes, all of which have increased costs and reduced flexibility for landlords.

Jason Harris-Cohen, managing director at LandlordBuyer, said: “The sector is reaching a critical tipping point. The 93,000 landlords who left in 2025 were just the start.

“What we’re seeing now is a wave of private landlords, particularly those with one or two properties, choosing to exit before legal, financial or regulatory risks increase further.

“At LandlordBuyer, we’re seeing more landlords than ever looking to sell tenanted properties quickly, without going down the eviction route. Selling with tenants in place is becoming the norm, not the exception.”

This change in approach reflects growing demand for routes out of the market that avoid disrupting existing tenancies, as landlords seek to manage exits in a way that limits legal complexity and reputational risk.

LandlordBuyer says the wider consequences for the housing market could be significant. With a large cohort of landlords planning to sell, the supply of private rented homes is expected to tighten further, particularly in high-demand urban centres such as London, Bristol and Manchester.