Build to Rent is too big for agents to ignore

But the expectations of institutional landlords differ significantly from those of the traditional buy-to-let market. 

August 5, 2026
by News on the Block Editorial Team
News On the Block

The latest insight from Propoly suggests that Build to Rent is rapidly reshaping the UK's lettings landscape, creating one of the biggest growth opportunities for letting agents in recent years. However, agencies hoping to secure a share of the expanding sector will need to embrace new ways of working, as the expectations of institutional landlords differ significantly from those of the traditional buy-to-let market. 

Propoly analysed UK Build to Rent investment data alongside the operational requirements commonly associated with institutional residential portfolios. The analysis shows that estimated annual investment into the sector has risen from £2.3bn in 2016 to £5.5bn in 2025, while investment during the first half of 2026 has already reached an estimated £3.1bn, an increase of 88.4% compared with the same period last year.* 

The challenges of operating in the B2R space

For letting agents, this level of investment signals more than continued confidence in the sector. It represents a rapidly expanding pipeline of professionally managed rental homes and a growing opportunity to work with institutional investors. However, succeeding in Build to Rent requires a very different operating model to traditional buy-to-let. 

Unlike private landlords, institutional investors typically expect detailed operational reporting, consistently high compliance standards and a seamless resident experience throughout the tenancy lifecycle. Speed, transparency and efficiency are no longer competitive advantages, they're baseline expectations. 

Residents are also driving higher standards. Build to Rent developments increasingly compete on customer experience, with prospective tenants expecting fast responses, digital onboarding, simple communication and responsive maintenance. At the same time, managing hundreds of homes demands technology that can automate tenancy progression, compliance, referencing and payments without increasing administrative workload. 

B2R demands more than a ‘buy-to-let at scale’ approach

According to Propoly, one of the biggest mistakes agencies can make is assuming Build to Rent is simply buy-to-let on a larger scale. In reality, the operational demands are fundamentally different, requiring agencies to deliver institutional-grade processes while maintaining an excellent customer experience. 

By bringing tenancy progression, referencing, compliance, digital agreements, payments and communication together within a single platform, Propoly enables agencies to streamline operations and reduce manual administration. Automated Right to Rent, AML and Know Your Customer checks, licensing workflows and compliance processes help agencies meet the rigorous standards expected by institutional landlords, while integrated resident portals and digital workflows support faster lettings and improved resident satisfaction. 

Sim Sekhon, Group CEO at Propoly, commented: 

"One of the biggest misconceptions in the industry is that Build to Rent is simply traditional buy-to-let with more properties. It isn't. It's an entirely different operating model, with institutional landlords expecting consistency, transparency and operational excellence at every stage of the resident journey. 

As investment continues to flow into the sector, Build to Rent is becoming far too significant for letting agents to ignore. The opportunity is enormous, but so too is the shift in expectations. Success is no longer measured purely by how quickly an agency can let a property. Institutional clients increasingly want data, compliance, operational reporting and a resident experience that reflects their brand. 

The good news is that agencies don't need to completely reinvent their businesses to compete. The right technology allows them to automate repetitive administration, simplify compliance and connect every stage of the tenancy journey into one efficient workflow. That enables agencies to take on larger portfolios, deliver the service institutional landlords expect and grow without having to increase headcount at the same pace. 

The agencies that recognise this shift now will be the ones best placed to secure Build to Rent instructions in the years ahead." 

Data tables and sources

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