One in five buy-to-let companies established in Britain during the first half of this year involves foreign shareholders, according to the latest analysis by Hamptons estate agents. And, in a clear sign of investors\u2019 confidence in the fundamental strength of the British rental market, that proportion has been climbing steadily since 2016, when it was just 13 per cent,<\/p>\n
George Katimertzis is a typical example of the kind of foreign investor who has been targeting the UK. Based in Greece, he has never resided in Britain, but now controls 16 rental properties across northeast England, acquiring his first in 2022. He told the Times newspaper that his portfolio generates an average gross yield of approximately 10 per cent\u2014returns that proved irresistible after evaluating comparable opportunities in France and Germany.<\/p>\n
He says: “The UK has some of the strongest rules of law around property, clear land ownership structures, and well-defined landlord and tenant rules.\u201d<\/p>\n
He adds that after witnessing a 50 per cent property market collapse during Greece’s economic crisis, he now recognises which fundamentals provide genuine security.<\/p>\n
Katimertzis is not alone in his thinking because the scale of foreign investment is now substantial. Hamptons projects that roughly 67,000 new buy-to-let companies will be formed by the end of 2025, with approximately 13,500 having non-UK nationals as shareholders. That is an 8 per cent increase on last year’s already record levels, suggesting investor momentum is continuing to build.<\/p>\n
For the third year in a row, it is Indians who comprise the largest group, setting up 684 buy-to-let companies in the first half of this year. Nigerians ranked second with 647 companies, and Polish nationals came next with 473. It is a pattern that mirrors post-Brexit migration patterns, according to David Fell of Hamptons, with investments following settlement.<\/p>\n
Approximately 80 per cent of foreign shareholders in these company structures reside in Britain, such as Marcin Struczyk, who arrived from Poland in 2008. He set up a Polish Brokers mortgage brokerage and later formed a buy-to-let company, which now owns two Doncaster properties with three more in the pipeline.<\/p>\n
Struczyk says: “My generation that came to the UK, we still have that hunger and determination to push on.\u201d<\/p>\n
The remaining 20 per cent are genuinely overseas investors, attracted by Britain’s transparent legal framework and robust mortgage market, with 30 to 40 lenders now offering products to foreign buyers.<\/p>\n
Last year, for example, HSBC expanded the number of nationalities eligible for buy-to-let mortgages from nine to 14.<\/p>\n
The tax structure also provides clear benefits for foreign buyers. Corporate ownership allows landlords to deduct the full mortgage interest from their tax bills, rather than receiving just a basic-rate credit that individual owners receive. In addition, corporation tax at between 19 and 25 per cent compares favourably with income tax rates, which can easily reach 45 per cent for higher earners. It is why Hamptons estimates 70 to 75 per cent of all buy-to-let purchases now occur through company structures.<\/p>\n
The geographical spread of foreign investment extends well beyond London. Between 2016 and 2025, the share of non-UK national landlords more than doubled in the East Midlands, West Midlands and Scotland, suggesting investors are seeking opportunities right across Britain’s regional markets.<\/p>\n","protected":false},"excerpt":{"rendered":"
The UK’s buy-to-let market is attracting a growing wave of international capital, with foreign investors establishing rental property companies at unprecedented rates despite domestic concerns over the tax and regulatory environment. One in five buy-to-let companies established in Britain during the first half of this year involves foreign shareholders, according to the latest analysis by… Read more »<\/a><\/p>\n","protected":false},"author":4233,"featured_media":6101945,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"inline_featured_image":false,"footnotes":""},"categories":[2,758,59],"tags":[22,67,49],"class_list":["post-6101944","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-buy-to-let-landlords","category-property-investment","category-trending-news","tag-buy-to-let","tag-foreign-investment","tag-uk-property-market"],"acf":[],"_links":{"self":[{"href":"https:\/\/www.buyassociationgroup.com\/en-au\/wp-json\/wp\/v2\/posts\/6101944","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.buyassociationgroup.com\/en-au\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.buyassociationgroup.com\/en-au\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.buyassociationgroup.com\/en-au\/wp-json\/wp\/v2\/users\/4233"}],"replies":[{"embeddable":true,"href":"https:\/\/www.buyassociationgroup.com\/en-au\/wp-json\/wp\/v2\/comments?post=6101944"}],"version-history":[{"count":0,"href":"https:\/\/www.buyassociationgroup.com\/en-au\/wp-json\/wp\/v2\/posts\/6101944\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.buyassociationgroup.com\/en-au\/wp-json\/wp\/v2\/media\/6101945"}],"wp:attachment":[{"href":"https:\/\/www.buyassociationgroup.com\/en-au\/wp-json\/wp\/v2\/media?parent=6101944"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.buyassociationgroup.com\/en-au\/wp-json\/wp\/v2\/categories?post=6101944"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.buyassociationgroup.com\/en-au\/wp-json\/wp\/v2\/tags?post=6101944"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}