Cardiff property market and landlord tax regulations

The property and rental markets in Cardiff are facing significant shifts due to changing economic conditions and upcoming tax regulations. As of September 2026, the Cardiff property market is described as balanced, with the average house price reaching £270,000 in June 2026, representing a provisional annual increase of 2.1%. In specific suburbs such as CF23 and CF15, average sold prices remain higher than the citywide average, recorded at £332,258 and £385,155 respectively.

Simultaneously, landlords in the region are preparing for the next phase of Making Tax Digital for Income Tax Self Assessment (MTD for ITSA). On 6 April 2027, the gross property income threshold for this requirement will drop from £50,000 to £30,000. This change is expected to affect many local landlords, including those managing small portfolios or single Houses in Multiple Occupation (HMO) properties in areas like Cathays, where rental income can easily exceed the new limit.