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14/7/25 8:13 pm
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A National Insurance grab by the Chancellor could create renewed investment from older landlords and reshape the buy-to-let market.
While recent headlines have focused on millennials driving new buy-to-let incorporations, PropTech firm Reapit suggests that the most significant post-Budget opportunity may lie with older investors looking to take advantage of comparatively higher yields and expand their portfolios.
Under proposals put forward for the Budget, landlords may become liable for a National Insurance charge on rental income. However, those over the State Pension age are currently exempt from paying National Insurance contributions, creating a significant post-tax yield advantage for older investors.
“While younger landlords are reshaping the market, agencies should not underestimate the resilience and value of older investors,” says Dr Neil Cobbold, commercial director at Reapit (pictured).
“If National Insurance is levied on all rental income but the current exemption for those over State Pension age holds, these investors could see higher net yields than their younger counterparts, making property investment more attractive to retirees. It will be for agencies across the country to sell this potential opportunity to their older landlords in the face of regulatory reform.”
According to the English Private Landlord Survey 2024, landlords with larger portfolios are both more likely to use an agent and be closer to retirement. The survey found that 77% of landlords with five or more properties were aged 55 or over, and that large-scale landlords were more likely to rely on an agent’s fully managed service.
Cobbold believes this could represent a valuable opportunity for agents. “Older portfolio landlords who rely on experienced agents to professionally manage their properties can trust those agents to guide them in investing beyond their local area in areas that deliver strong rental yields.”
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