ModaMortgages analysis finds 85% of buy-to-let landlords make a profit

Created Nov 11, 2026 • AI-generated summary

ModaMortgages' analysis of the latest Pegasus Insight Landlord Trends report (Q3 2026, reported 11 November 2026): 85% of UK buy-to-let landlords report making a profit, including 17% describing a large profit, while 11% break even and 4% make a loss. Profitability has generally stayed above 80% since early 2020, aside from pressure after initial mortgage rate rises in 2023. Average gross rental yields unchanged at 6.4%. Landlords owning portfolios outright reported 93% profitability versus 79% for those with buy-to-let borrowing. Average annual operating expenditure was £17,665 for non-HMO portfolios and £28,168 for HMOs, with maintenance and repairs the largest cost category. Membership limited to coverage of this specific ModaMortgages profitability analysis.