Property investors based in the capital are increasingly purchasing buy-to-let properties outside of London, according to Countrywide.
The UK's largest agency's latest research shows that the proportion of London investors purchasing elsewhere has reached a high of 50% this year.
In 2011, just 19% of investors based in the capital purchased buy-to-let properties outside of the city.
Last year, London landlords purchased over 22,000 homes outside of the capital, a significant rise compared to the 3,311 recorded in 2010 when Countrywide first started taking records.
The agency says that Londoners are increasingly looking north for buy-to-let returns, hoping to benefit from better yields and lower stamp duty costs.
Average stamp duty costs for investors purchasing in the capital are £40,000, falling to £6,300 outside of London.
The highest proportion of London landlords purchasing homes was recorded in the East (26%), while around 9% of investment properties purchased in the north are sold to London landlords.
Last month, Countrywide recorded just 12% of London homes were sold to an investor which is close to a record low.
“In response to slower price growth and government tax hikes, London landlords are looking further than ever to find a return. Lower entry costs and higher yields outside of the capital are enticing investors to look further afield than they have previously," says Johnny Morris, Countrywide's research director.
“Rental growth remains low across Great Britain. Mostly driven by London where rents have fallen for the sixth consecutive month. The repercussions of the stamp duty rush are still playing out in the rental market as stock levels continue to remain high. But with fewer investors buying in the capital we will likely see stock levels fall, driving future rental growth.”