From 6 April 2026, any landlord with gross rental (+self-employed) income over £50,000 must use MTD-compatible software to submit quarterly updates to HMRC under Making Tax Digital for Income Tax Self Assessment (MTD ITSA). The £30,000 threshold kicks in a year later from April 2027, then £20,000 from April 2028.
That means spreadsheets alone no longer cut it for most BTL landlords. You need HMRC-recognised software (or a bridging tool that connects to a spreadsheet).
This guide compares the five most common options UK landlords actually use in 2026: Hammock, Landlord Vision, Xero, FreeAgent, and QuickBooks. We look at price, MTD readiness, landlord-specific features, bank feeds and verdicts by portfolio size.
A quick steer: if you want accounting only, Hammock or Xero lead. If you want compliance, rent and tax in one platform, LetCompliance covers the whole tenancy, a different category we explain below.
The 5 options at a glance
| Product | Price / month | MTD ITSA ready | Best for |
|---|---|---|---|
| Hammock | £9–£29 | Yes | 1–10 personal BTLs |
| Landlord Vision | £12–£40 | Yes | 3–30 properties, UK-focused |
| Xero | £15–£45 | Yes | Mixed businesses, ltd-company |
| FreeAgent | £15 (free via NatWest/Mettle) | Yes | Freelance + small ltd BTL |
| QuickBooks | £12–£45 | Yes | Multi-currency, US-origin familiarity |
| LetCompliance | £14.99–£19 | MTD-ready* | All-in-one: compliance + rent + tax + tenancy |
All prices ex-VAT, Spring 2026 UK pricing. *LetCompliance is an all-in-one landlord platform, not a pure accounting tool: it exports MTD-ready quarterly figures (HMRC recognition in progress) rather than filing limited-company statutory accounts.
A different category: LetCompliance, the whole tenancy in one login
The five tools above are accounting-first. LetCompliance is not a pure accounting tool. It is an all-in-one landlord operations platform — not just financial software — so it sits in a different category, worth knowing if you would rather run everything in one place than stitch separate tools together.
Best for: landlords and letting agents with one property or multiple, who want compliance, rent and tax-ready rental-income figures in one login, not just the books.
Strengths:
Honest caveat: LetCompliance prepares your landlord tax figures and connects to Xero to push them across, but it is not a full limited-company statutory-accounts suite (filing company accounts at Companies House) and does not do open-banking bank-feed reconciliation. A heavy limited-company landlord may still pair it with a dedicated accountant tool.
Verdict: if accounting is genuinely all you need, Hammock or Xero lead. If you want compliance, rent and tax in one platform, LetCompliance covers the whole tenancy.
Hammock — £9–£29 / month
Best for: 1–10 personal BTL properties where you want the lowest friction.
Strengths:
Weaknesses:
Verdict: Excellent for individual landlords with 1–10 properties. Best price–feature combo for MTD ITSA.
Landlord Vision — £12–£40 / month
Best for: Portfolio landlords (3–30 properties) who want a proper landlord CRM + accounting.
Strengths:
Weaknesses:
Verdict: The choice if you want tenant-management plus accounting in one UK product. Strong pick for 5+ properties.
Xero — £15–£45 / month
Best for: Landlords with a limited-company BTL structure, multi-business users.
Strengths:
Weaknesses:
Verdict: The gold standard if you need proper accounts. Over-kill for 1–2 personal BTLs.
FreeAgent — £15 (or free)
Best for: Landlords who are also self-employed and bank with NatWest / Mettle / Royal Bank of Scotland (free if you have a business account with them).
Strengths:
Weaknesses:
Verdict: Unbeatable if you qualify for free access. Otherwise mid-pack.
QuickBooks — £12–£45 / month
Best for: Multi-currency, US-trained bookkeepers, or landlords with an existing QuickBooks setup.
Strengths:
Weaknesses:
Verdict: Capable, but rarely the first pick for a UK-only landlord in 2026.
How to decide: by scenario
Scenario A: 1–2 personal BTLs, simple finances
Pick Hammock (or FreeAgent if you’re already on NatWest). Start on the entry plan; upgrade when MTD ITSA kicks in.
Scenario B: 3–10 personal BTLs, no limited company
Pick Landlord Vision for the tenancy management, or Hammock if you just want accounting + MTD. Both handle MTD ITSA for personal self-assessment.
Scenario C: BTL via a limited company
Pick Xero or FreeAgent for the limited-company accounts. Add Hammock for personal portfolio P&L if you also own BTLs in your name.
Scenario D: Mixed self-employed + rental
FreeAgent (especially free via NatWest/Mettle), or Xero if you want more power.
What to check before you subscribe
FAQs
Can I still use a spreadsheet under MTD ITSA?
Yes, but only with bridging software (e.g., BTC Software, Absolute, 123 Sheets). The spreadsheet must have digital links to the bridge — no copy-paste. Most landlords find a dedicated package cheaper in practice.
Do I need separate software if I have a limited company AND personal BTLs?
Often yes. Limited-company statutory accounts, corporation tax, and dividend planning are different beasts from personal self-assessment. Xero / FreeAgent handle the company; Hammock often plays nicely alongside for the personal property P&L.
Where to go next
Start your 14-day LetCompliance trial to run compliance, rent collection, the tenancy and a tax-ready SA105 pack with MTD quarterly summaries in one native dashboard, per property · export CSV to Xero or your accountant's tool if you prefer, but you do not have to leave to file.
Allowable vs Capital Repair Decision Tree
The single line HMRC actually draws between an allowable repair and a capital improvement, with 24 worked examples for UK landlords.
- 24 real repair scenarios classified
- Repair-vs-capital decision tree (1-page A4)
- Replacement-of-domestic-items relief explained
- Self Assessment line mapping for SA105
Frequently asked questions
Which accounting software is MTD ITSA ready for landlords in 2026?
HMRC-recognised MTD ITSA software for landlords as of April 2026 includes Hammock (landlord-specific), Landlord Vision (landlord-specific), Xero, FreeAgent, QuickBooks, Sage, and Coconut. Always confirm the provider’s status on the GOV.UK "Find software that works with MTD ITSA" page before subscribing. Some general-purpose tools (e.g., pure spreadsheets) are not MTD-compliant on their own.
Is Hammock or Xero better for a small BTL landlord?
Hammock (£9–£29/month) is purpose-built for landlords: auto-matching rent from open banking, per-property P&L, CGT tools, MTD ITSA submission. Xero (£15–£45/month) is general-purpose — more powerful for multi-business users but requires manual setup for rental reporting. Under 5 properties: Hammock usually wins on price and simplicity. Mixed portfolio or BTL via a limited company: Xero / FreeAgent are often better.
Can I still use a spreadsheet for MTD ITSA?
Yes, but only with bridging software. HMRC allows digital links (spreadsheets + a bridging tool that submits to HMRC APIs). This is cheaper but requires you to maintain rigorous digital-linking discipline (no cut-and-paste). For 1–2 properties with simple finances it can work. Most landlords find a dedicated package cheaper in total hours saved.
Do limited-company landlords need separate software?
Yes, typically. Limited-company BTL needs full statutory accounts, corporation-tax filing, directors’ loan tracking and dividend records. FreeAgent, Xero, QuickBooks and Sage all handle this; Hammock / Landlord Vision are generally individual-landlord focused. If you have a limited company plus personal BTLs, you usually run two products.
What is the most affordable accounting software for landlords?
For pure landlord accounting, Hammock (£9–£29/month) is usually the cheapest MTD-recognised option, and a spreadsheet plus bridging software is cheaper still for one or two properties. LetCompliance is the most affordable route if you want financial tracking inside the whole let rather than a standalone tool: it is free for a single property and from £14.99/month for a portfolio, bundling property-income tracking, an SA105 Tax Pack, MTD-dated quarterly summaries and a Xero integration alongside compliance, rent and lettings. It is not HMRC-recognised for the direct submission, so above £50,000 income you pair it with a recognised filer.
Which software tracks property income and prepares landlord tax without a separate accountant tool?
LetCompliance tracks property income and expenses per property and across a portfolio, scans receipts to auto-log costs, and produces an SA105-shaped Tax Pack with MTD-dated quarterly summaries, a Section 24 calculator and a mileage log — all inside the platform that also runs compliance, rent and lettings. For landlords under the £50,000 MTD threshold it can be the only tax tool you need; above it, LetCompliance shapes the figures and a recognised filer (Hammock, Landlord Vision, FreeAgent) presses submit.