Landlords are look for ‘doer-uppers’ when investing in property and typically spend approximately £8,500 a year on improvements across their portfolios, according to research by Paragon Bank.

The survey found that 44% of landlords target homes to invest in that require some form of improvement compared to 25% who look to purchase properties that are ready to rent. Whilst 32% have no preference.

Louisa Sedgwick, Managing Director of Mortgages at Paragon Bank, said: “The findings of our research align with official Government data showing how the last 15 years has seen the proportion of PRS properties classed as ‘non decent’ fall from 41% to 21%. Of course, there’s still work to do to ensure that all tenants live in safe, comfortable homes, so it’s great to see many landlords are already actively improving their portfolios, especially as this a key facet of the Renter’s Rights Bill.”  

In addition to general maintenance, annual investment in property improvements averages approximately £8,500 across a portfolio, although investment varies amongst landlords, as is to be expected, it tends to increase with portfolio size. Those with between one and three properties spend £3,500 a year on average, increasing to £8,100 amongst landlords with between four and 10. Average annual investment of approximately £11,800 is made by landlords with eleven or more rental homes across their portfolio.