Can You Really Still Make Money in Property?

It seems like everyone is getting into property right now. From TikTok landlords bragging about their first flips to seasoned investors expanding their portfolios, the UK market looks more crowded than ever. With tighter regulations, rising costs, and so much competition, it’s fair to ask: can you really still make money in property?

The short answer is yes — but not exactly in the same way as before.

1. The Market Isn’t “Easy Money” Anymore

There was a time when buy-to-let was seen as a guaranteed win: low interest rates, minimal regulation, and rising house prices meant landlords could sit back and watch the profits roll in. Fast-forward to 2025 and things look very different.

• Interest rates and mortgage costs have squeezed cash flow.
• Tax changes mean less generous allowances.
• Energy efficiency rules are forcing landlords to upgrade stock or face penalties.
• Landlord Regulations and Tenant Rights are making non-compliant landlords nervous.

If you’re investing now, you can’t rely on the old model of “buy anything and wait for capital growth.”

2. Where the Money Is Being Made

Despite the squeeze, smart investors are still finding opportunities. The difference? They’re being more strategic.

• Regional hotspots: Cities like Manchester, Birmingham, and Leeds continue to outperform on rental yields compared to London.
• HMOs (Houses in Multiple Occupation): With demand for affordable rental accommodation rising, well-run HMOs can generate significantly higher yields than single lets.
• Adding value: Rather than just buying and holding, investors are creating value through refurbishments, conversions, or repositioning properties to meet demand.
• Same Buy To Lets – just done smarter: buying in the right neighbourhoods, where the government is allocating regeneration funds, for the right price, using correct tax advice, etc can all make property work as well as it did before (if not better). The

In short, money is still being made — but by investors who understand their market and work their strategy, not by those expecting passive windfalls.

3. Avoiding the “Crowded Market” Trap

With more landlords entering the sector, competition is fierce. The mistake many new investors make is following the hype and trends — getting in on the latest “fast cash” promises, hoping to be successful with the new hot “no money down” strategy, hyper-focusing on buzzwords like DTV, DTV, and BRR(rrrrrrrrrrr…..).

The investors who stand out (and profit) are those who:

• Have a clear vision for the target tenant for a particular property from the beginning — like young professionals, families, or students, etc.
• Buy based on fundamentals (employment growth, infrastructure, rental demand) rather than hype.
• Treat their investment like a business, not a side hustle (and definitely not a ‘get-rich-quick’ scheme.
• Understand the power of leverage (mortgages) and time in the market for capital growth.

4. The Donelan Property Approach

At Donelan Property, we’ve seen both sides — landlords frustrated by underperforming assets, and others thriving because they adapted their strategy. For us, it’s about:

• Spotting undervalued properties in growth areas.
• Managing them to a high standard to maximise rental income.
• Advising investors on structures and strategies that work long-term.

The market might feel saturated, but with the right approach, there’s plenty of opportunity left on the table, especially until the housing crisis is fully solved – which is not looking to be soon..

Final Thought: The Opportunity Is Still There

So, can you really still make money in property? Absolutely. But it’s not about chasing quick wins anymore — it’s about being smarter, more strategic, and more selective.

For investors willing to adapt, property remains one of the strongest routes to building wealth in the UK.

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