Editor's note: This brief was summarised by The Property AI Newsroom from a report by Mortgage Strategy. Read the original article for full details.
Buy-to-let Remortgaging Hits Record High, Pegasus Reports
Buy-to-let remortgage activity has reached a record high, with 57% of landlords with a mortgage refinancing in the 12 months to June, according to research from Pegasus Insight. The latest Landlord Trends report shows this is up 10 percentage points on the previous quarter and matches the record level first reached at the end of 2025.
Pegasus Insight found that refinancing continues to dominate the buy-to-let market, with remortgages and product transfers accounting for around eight in ten recent transactions. In contrast, mortgages for new property purchases made up just 8% of activity.
The research also revealed that 62% of mortgaged landlords had a fixed-rate deal mature within the past two years. Of these, 60% remortgaged with their existing lender, while 29% switched to a different lender. Landlords are planning ahead, with 64% arranging a replacement deal between three and six months before their current fixed rate expires.
Higher interest rates and difficulties in finding competitive deals were cited as the main challenges when refinancing. Looking forward, 40% of landlords with borrowing expect to remortgage or arrange a product transfer over the next 12 months, covering an average of 2.5 loans each. Among portfolio landlords with four or more buy-to-let mortgages, around half expect to refinance in the coming year, with an average of 3.7 loans each.
Two and five-year fixed rates were equally popular among landlords, while 28% had yet to decide on their next product. The research also found that two-thirds of landlords arranged their most recent buy-to-let mortgage through a broker, rising to three-quarters among portfolio landlords.
These findings highlight ongoing trends in the UK buy-to-let sector that are relevant for letting agents and inventory clerks, particularly regarding landlord refinancing activity and the use of brokers.
Source: Mortgage Strategy