Winkworth has told its shareholders that its let-only business – private landlords instructing the firm to source tenants without using its full management service – has “shown some decline”. 

But it sugars this pill by saying revenue from property management, where typically the firm finds the tenant and provides ongoing management, has increased “in many of our offices.”

The half-year statement also reveals a flow of sales of ‘let only’ rental investments, with up to 10% of the rented-only property portfolio being offered for sale. 

But in a nod to the growing red tape making buy to let challenging for many landlords, Winkworth says: “In the short term, some of this rental stock is likely to return to the market as a result of vendors not achieving their anticipated price levels and choosing to relet properties pending a market improvement. There is an identifiable shift, however, away from private landlords towards institutions looking to enter this market through new-build accommodation.”

In the sales side, 2025 has so far seen a high volume of properties for sale, 10% above the average of recent years. 

It says the sharp increase in sales in the first quarter of the year, in advance of the reduction in the stamp duty exemption threshold for first time buyers, was a powerful reminder of how government intervention can influence the market. 

But it warns further government action in November’s Budget – such as a rumoured tax on the sale of higher value properties – could create a form of double taxation on owners who have already paid stamp duty on the purchase price, and could hit sales at the top end of the market.

Chief executive Dominic Agace tells shareholders: “We are delighted with our performance in sales in H1 2025 and the solid contribution from lettings, where management fees are making an increasingly important contribution. 

“Net cash generated by the business nearly doubled compared to the first half of 2024, and we have continued to invest in our franchisees, while supporting them through new marketing initiatives. 

“We have also substantially increased the payout to shareholders. Further activity in our network should result in us finishing the year above our target of opening or reselling eight franchises per year.”