Landlord returns down 45% since the pandemic – is buy-to-let still worth it?

High mortgage rates have hit landlord profits. We explain if you can still make money out of a buy-to-let portfolio

Home being squeezed
Landlord returns have been squeezed since the pandemic
(Image credit: Getty Images)

Property investors have been hit with a 45% drop in annual returns since the pandemic as high mortgage rates and tax relief restrictions weigh on returns, new research suggests.

It comes as the perks of buy-to-let investing have reduced in recent years amid extra stamp duty charges on additional property purchases and restrictions on mortgage interest relief.

Subscribe to MoneyWeek

Subscribe to MoneyWeek today and get your first six magazine issues absolutely FREE

Get 6 issues free
https://cdn.mos.cms.futurecdn.net/flexiimages/mw70aro6gl1676370748.jpg

Sign up to Money Morning

Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter

Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter

Sign up
Marc Shoffman
Contributing editor

Marc Shoffman is an award-winning freelance journalist specialising in business, personal finance and property. His work has appeared in print and online publications ranging from FT Business to The Times, Mail on Sunday and the i newspaper. He also co-presents the In For A Penny financial planning podcast.