The report, which compares quarterly data from Q2 2024 to Q2 2025, shows national average yields holding steady at 7.5%—up 0.1% on the quarter and just 0.1% below this time last year.

Wales topped the yield table for the first time, hitting 9.0%, followed closely by the North West (8.8%) and North East (8.7%).

Fleet attributed the sustained yield performance to continued tenant demand, comparatively lower property prices in northern and Welsh regions, and renewed appetite from experienced landlords looking to grow their portfolios.

Although four regions recorded year-on-year yield declines—most notably the North East (-1.4%) and West Midlands (-0.8%)—quarterly figures suggest these dips are stabilising. Meanwhile, Wales led in annual and quarterly growth, up 0.7% and 1.3% respectively, with other uplifts seen in the East Midlands, North West, and South West.

Average monthly rents also rose by 2.9% quarter-on-quarter, with the North East seeing the sharpest rise at 21.8%, followed by Wales (7.8%) and Greater London (6.5%). The most affordable average rent remains in Yorkshire & Humberside (£861pcm), while Greater London remains the priciest at £2,328pcm.

Fleet’s lending data found that:

• 54% of applications came from portfolio landlords (4+ properties)

• 39% of cases were for new purchases

• 81% of applications were via limited companies

• First-time landlord applications remained steady at 14%

Fleet’s average two- and five-year fixed rates also fell to 4.35% and 5.13% respectively, maintaining a competitive edge over wider market averages.

Fleet chief commercial officer Steve Cox says: “It’s particularly encouraging to see Wales now leading the table with a 9% average yield, and the North West and North East remaining highly competitive. These areas continue to offer landlords a compelling mix of yield, affordability and tenant demand, all of which remain critical factors in building sustainable portfolios.

“While some Southern regions have lower yield percentages, this is normal given property prices. They continue to deliver in terms of capital appreciation, and monthly rental values remain high. The growth in rents across most regions – particularly the substantial 21.8% jump in the North East – illustrates tenant demand is still outpacing supply, supporting continued investment.

“It’s clear landlords are still very much in the market – over half of our business continues to come from those with four or more properties, and purchase demand has held steady despite wider economic pressures. It’s also pleasing to see first-time landlord activity staying consistent at 14% which suggests new entrants are still seeing long-term value in buy-to-let.”