- Portfolios diversified across various assets can provide a good income
- Lower costs and tax efficiency may mean these portfolios don't need to generate as much as your buy-to-let property did
- If you are retired, annuities are one way to generate a regular guaranteed income
Higher mortgage costs or the burden of administration may mean that you are one of the increasing numbers of landlords quitting the market and selling. However, if you depended on a steady stream of property income to fund your expenditure you will need to replace it with something similarly reliable.
On the plus side, your earnings from your new source of income should go further because you no longer have the expenses associated with running a rental property. And if your new sources include a portfolio of securities, you can hold them within a individual savings account (Isa) so the income generated is not lost to tax – another reason why you may not need to generate as much income.