Buy-to-let landlords are getting their heads around legislative and tax changes, and finding attractive returns in the long-term rental sector, according to the latest research from Knight Frank, which looked at the mortgage market and revealed that the number of buy-to-let mortgages issued in the year to February hit 275,600 – the highest figure since 2016.

The report used UK Finance data and included 159,100 re-mortgages. New mortgages taken out by buy-to-let landlords – either those fresh to the property investment world or those buying additional properties – was up to 110,000, according to the report. This compares to just 75,800 taken out in the 12 months to February 2020.

Just as house prices have been skyrocketing in recent years, so have rents. In fact, in some cases, monthly rental rises have outpaced house price increases, said Knight Frank. This is one factor that is giving landlords an extra incentive to remain active in the sector.

Commenting on the results, Andrew Groocock, regional head of sales for Knight Frank’s City, East and North region in London, reportedly said: “The extent of the recent rent rises has started to compensate for some of the regulatory changes of the last few years. It’s increasingly driving activity in London’s apartment market.”