Research, by BDRC Continental on behalf of BM Solutions, discovered that some landlords are earning twice as much as the average UK salary.
Currently, the average salary in the UK is £27,174, but landlords are exceeding this amount per year with a yearly income of £60,000.
The average landlord has a portfolio of eight or nine properties, achieving this annual wage, which has a total value of about £1.2 million.
However, one in three landlords don’t have a financial plan, growth or exit strategy in place for the future.
Research also found that two thirds of landlords purchased their properties through buy-to-let mortgages, with yields increasing to 6.2% across the UK.
Landlords in the East Midlands and Wales have been enjoying the best rental returns at 6.7%.
Head of BM Solutions, Phil Rickards said: It’s easy to see why people are attracted to the buy-to-let market; it offers a tangible investment which can provide the long-term returns that some assets won’t.
“For those people considering the opportunities that this market presents it is however important to understand the financial and legal commitments being a landlord brings and to ensure that you undertake the right level of research and due diligence to increase your chances of success.”
