Property Inspect examined recent investment data for the UK BTR market and found that during the first quarter of 2025 alone, an estimated £832 million was invested into the sector. This represents a 49.9% year-on-year rise from Q1 2024, when investment stood at £555 million.
The figures suggest that 2025 is set to be a standout year for BTR, building on a strong 2024 during which total annual investment rose by nearly 12% to exceed £5 billion. Over the past five years, the sector has experienced average annual growth in investment of 14.3%.
A closer look at completion data reveals that this influx of investment is translating into significantly more BTR homes being delivered across the UK.
In Q1 2025, construction was completed on approximately 127,156 BTR homes – a 15.8% increase compared to the 109,847 completions recorded in the same quarter last year. This also marks the highest number of quarterly completions ever recorded in the sector’s history, reflecting its consistent year-on-year expansion.
Siân Hemming-Metcalfe, operations director at Property Inspect, comments:
“The BTR sector is rapidly emerging as a focal point of UK property investment. It is in high demand from tenants and receiving strong support from lenders who see it as a secure investment, and planning committees who see it as a reliable way of increasing the number of good quality rental homes for their communities.
“This BTR revolution, however, presents a challenge for managing agents and property managers. One of BTR’s key selling points is the higher standard of service and living it provides compared to the wider private rented market. As such, tenants expect high quality and efficiency at all times, from check-in through to check-out.
“To provide this, managers need top-quality tools at their disposal to make sure that tasks such as inventories, maintenance remediation, and communication are conducted seamlessly and efficiently with the feel of professionalism that tenants expect from BTR homes.”
