Mish Liyanage – Property Expert

There’s no denying it — being a property entrepreneur in the UK right now isn’t for the faint-hearted.

Rising interest rates, tighter regulations, and shrinking margins have turned what was once seen as an easy route to wealth into a test of resilience and strategy.

But challenge always brings opportunity. The property market rewards those who understand the landscape, adapt quickly, and think long-term.

Here’s what every property entrepreneur needs to navigate if they want to not only survive, but thrive, in the current climate.

1. The Financing Squeeze

One of the biggest pressures facing property entrepreneurs today is access to finance.

Higher interest rates and tighter lending criteria have slowed deals and squeezed returns. For new investors, this can feel like a brick wall.

However, there’s still capital available — it’s just more selective. Entrepreneurs need to build relationships with alternative lenders, joint venture partners, and private investors. Being able to demonstrate robust cash flow, professional management, and a clear value-add plan is key.

The new rule is simple: money follows credibility.

2. Regulatory and Tax Complexity

From EPC upgrades and selective licensing to Section 24 and planning reform — landlords and developers are navigating an increasingly complex web of rules.

Instead of fighting against it, the best property entrepreneurs build compliance into their business model. They see legislation not as a barrier, but as a filter that removes less-prepared competitors from the market.

Professionalisation is now the minimum standard. Those who invest in education, expert partners, and proactive compliance will stay ahead.

3. Supply vs. Demand Imbalance

The UK’s housing shortage is both a problem and an opportunity.

Demand continues to outpace supply, particularly in the North and Midlands, but planning delays and rising build costs keep new stock from entering the market fast enough.

Smart investors are adapting by focusing on refurbishments, conversions, and creative re-use of existing buildings — from HMOs and co-living spaces to serviced accommodation.

As I often say, you don’t have to build new to create value — you just need to see potential where others see problems.

4. Shifting Tenant Expectations

Today’s tenants are more informed and more selective than ever.

They expect quality, sustainability, and service — not just a roof over their heads.

For property entrepreneurs, that means thinking beyond short-term rent collection. Success now depends on creating living experiences that attract and retain tenants.

That might mean investing in better design, energy efficiency, and responsive management — but it pays off in stronger demand and longer tenancies.

In a competitive rental market, reputation is everything.

5. The Rise of Data and Technology

Technology is transforming property investment. From data-driven sourcing to digital lettings and portfolio management, tech is no longer a “nice to have” — it’s an essential tool for scale and efficiency.

The challenge? Many investors still rely on outdated spreadsheets and guesswork. Those who embrace proptech solutions, automate processes, and use real-time insights to guide decisions will gain a serious edge.

In property, as in any business, what gets measured gets managed — and what gets managed grows.

Turning Challenge into Opportunity

It’s easy to see the current market as difficult, but I see it differently — it’s a sorting mechanism.

Tougher conditions weed out the speculative, leaving space for strategic, values-driven entrepreneurs who are serious about the long game.

If you’re in property today, you’re not just an investor — you’re a problem solver. You’re tackling housing shortages, regenerating communities, and creating homes that people genuinely need.

That’s what real entrepreneurship looks like.