-
14/7/25 8:13 pm
Thank you! Your submission has been received!
Oops! Something went wrong while submitting the form.
A growing number of landlords are showing more interest in two-year fixes and tracker options when remortgaging, according to the latest survey.
Landbay’s poll of buy-to-let landlords found that 57% would still choose a five-year fix, although this was down on the 71% who chose the option this time last year. The lender reports that in the last 12 months, landlords have shown more interest in two-year fixes, with 29% planning to choose this product - up from 20% in 2024.
It believes expectations around interest rates could be driving these trends, as demand for tracker mortgages has increased from 3% last year to 8%. However, this was not as high as in 2023, when 14% of landlords showed interest in tracker mortgages.
Meanwhile, the desire for longer-term fixes has remained static, with just 6% of landlords interested in seven- or 10-year products.
Landbay also found that of those planning to remortgage onto a five-year fix, 29% were portfolio landlords with between four and 10 properties, followed by 26% who had between 16 and 30 rental properties. Most of these properties were in London and the South East.
Jeni Browne, senior mortgage consultant and business development director at MFB, says it’s interesting that 14% fewer landlords are choosing a five-year fixed rate than they were a year ago, bringing it down to an almost 50/50 split. “I think this really demonstrates the dilemma landlords face – take a risk on rates going down over the next two years, versus having a fixed cost for five years, knowing that this may not be the cheapest option, but it gives them some certainty in what are uncertain times,” she tells LandlordZONE.
“The increase in the number of landlords wanting a shorter-term fixed rate certainly indicates growing confidence in rates coming down over the next couple of years, which is being echoed by many economists.”
Tags:
Comments