Four in 10 buy-to-let landlords will refinance at least one property in the next 12 months, according to Paragon Bank research.
The research, conducted by Pegasus Insight on behalf of Paragon, surveyed nearly 600 landlords.
It found that 38% of those with buy-to-let mortgages plan to either remortgage or switch to a new product with their current lender within the next year.
Those intending to refinance can expect to deal with an average of 2.9 buy-to-let mortgages each.
The survey also revealed that 43% of landlords own all of their rental properties outright, while 31% have a combination of mortgaged and unmortgaged properties.
The remaining 26% have mortgages against all their rental properties.
Refinancing activity has become an increasingly important feature of the buy-to-let market as five-year fixed-rate mortgages taken out during the pandemic-era property boom reach maturity.
According to UK Finance, a record £18.2 billion was lent to buy-to-let homes in 2021, followed by a further £17.4 billion in 2022.
Remortgages account for three-quarters of the lender’s buy-to-let business during the first half of 2026, said Louisa Sedgwick, managing director of mortgages at Paragon Bank.
It expects refinancing to remain a key driver of activity, given the volume of lending completed in 2021 and 2022, when landlords took advantage of the stamp duty holiday.
“For brokers, this creates an opportunity to work with landlords ahead of upcoming maturities, looking across their portfolios at refinancing requirements as well as broader borrowing needs, such as releasing equity to improve properties or future investment,” she said.
Sedgwick added that brokers should consider the wider funding requirements of landlords rather than just focus on individual mortgage maturities.
This may include raising capital against wholly owned properties or releasing equity from existing investments to finance improvements and additional acquisitions, subject to lending criteria and affordability.
It also highlighted the potential benefits of reviewing several mortgages together when landlords have multiple properties approaching the end of their fixed rate terms.
