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20% of rental properties now let by companies, says Countrywide

A remarkable one in five properties now being let are operated by a company landlord - and the figure surges to 27 per cent in London.

These figures, from Countrywide, suggest that the number of company landlords has been rising steadily rising since 2013 but has recently recorded the biggest annual jump up six per cent - with changes to mortgage interest tax relief likely to be behind the rise. 

“Companies are generally taxed more favourably, particularly with recent changes by government to tax relief, so in many cases landlords can make cash savings by operating through a company rather than as an individual” says Johnny Morris, research director at Countrywide.

The changes to income tax relief on mortgage interest payments are being phased in over a four year period between this month and April 2020; they make it more tax efficient in some cases for landlords to own their buy to let portfolios through a company rather than hold as a personal asset.  

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