Editor's note: This brief was summarised by The Property AI Newsroom from a report by Mortgage Solutions. Read the original article for full details.

Lenders Announce Buy-to-Let Rate Reductions Amid Market Uncertainty

The buy-to-let (BTL) market is showing signs of stabilisation, with several lenders announcing rate reductions across their BTL mortgage products. These changes come as the sector continues to navigate economic and political uncertainty, with increased lender competition and softening swap rates contributing to improved affordability.

Barclays has introduced a series of rate reductions in its BTL range. Notably, the two-year fixed remortgage product up to 75% loan to value (LTV) with zero product fees and a maximum loan of £1 million has been reduced by 0.4%, from 5.5% to 5.1%. For purchase-only products, a five-year fixed up to 60% LTV with an £899 product fee and a maximum loan of £1 million has been reduced by 0.36%, from 5.05% to 4.69%.

Dudley Building Society has also reduced rates on its residential, BTL, and expat products. Its five-year fixed BTL product at 80% LTV for purchase or remortgage has been reduced from 6.4% to 5.63%, with a £1,499 arrangement fee and a £1 million maximum loan. The five-year fixed BTL expat product at 70% LTV is now 5.68%, down from 6.3%, with a £1,999 arrangement fee and a £1 million maximum loan.

Landbay has decreased rates by up to 0.17% on selected Premier products, including product transfers. The Premier five-year fixed up to 75% LTV with 0% fee is now 5.45%, down from 5.62%, and is available for both individuals and limited companies with a £2 million maximum loan. The Premier five-year fixed product transfer up to 75% LTV with a 1% fee is now 5.34%, down from 5.48%, also available for individuals and limited companies with a £2 million maximum loan.

Zephyr Homeloans has reduced all its fixed rates by 15 basis points. In its Special Edition Range, a two-year fixed up to 75% LTV with a 5% product fee is now available at 3.69% on a standard property (maximum loan £1.5 million). Pricing for small house in multiple occupation (HMO) and multi-unit freehold block (MUFB) properties in the same range starts at 3.84% up to 75% LTV with a 5% product fee and a maximum loan of £1.5 million, while large HMOs/MUFBs start at 4.09% with a 5% product fee.

Accord Mortgages has announced reductions of up to 0.3% on two-year fixed rates in its BTL new business range. Three-year fixed rates have been reduced by up to 0.25% and five-year fixed rates by up to 0.22%. A two-year fixed is now priced at 4.45% up to 60% LTV with a product fee of £3,495, £250 cashback, and a free standard valuation. The maximum loan is £1.5 million.

Saffron Building Society has launched a 70% LTV limited company BTL product. The five-year fixed product is available at 5.47% with a £2,500 fee. Another five-year fixed is being offered at 5.57% with a 1.5% fee, also up to 70% LTV.

These rate reductions and new product launches reflect ongoing adjustments in the BTL market, with landlords and investors responding to both improved affordability and continued uncertainty.