Almost four in 10 landlords plan to refinance buy-to-let property during the next 12 months, Paragon Bank research has revealed.
The research, which covers Q4 2025, found that 39% intend to refinance throughout 2026, a figure that unsurprisingly increases in line with portfolio size. Over half (53%) of those with four or more buy-to-let mortgages anticipate either remortgaging or switching to a new product with their existing lender, falling to 27% of those with between one and three properties.
The data shows that refinancing has steadily increased over time, with the same quarter in 2020 seeing an average of 27% of landlords planning to either remortgage with another lender or secure a product switch with their existing.
Industry data1 shows that £49.7 billion worth of fixed-rate buy-to-let mortgages are set to mature in the 12 months to November, predominantly fuelled by the high number of five-year fixed-rate mortgages taken out during a bumper year for the buy-to-let market in 2021.
The survey of over 800 landlords, undertaken by Pegasus Insight on behalf of Paragon Bank, also revealed that landlords plan to refinance an average of 2.2 properties each. More than four in 10 (46%) will refinance just one home, three in 10 (31%) two homes and, at the other end of the scale, 6% will look to secure new loans for five or more properties.
The majority of properties, almost eight in 10 (78%), will be refinanced in a personal name, with two in 10 (19%) in a limited company. The research also found that more than six in 10 landlords who financed their investments with buy-to-let borrowing had a fixed rate deal mature during the last two years.
Louisa Sedgwick, Managing Director of Mortgages at Paragon Bank, said: “The research highlights how 2026 will be another big year for maturing mortgages, with remortgaging and product switches driving buy-to-let business. This is driven by the buoyant market from 2021, when the Stamp Duty holiday led to the strongest market for buy-to-let house purchase on record. Much of that business was written on five-year fixed-rate mortgages.
“While many landlords plan on remortgaging just one property, we do see that plenty of others may have more. This shows the benefit of working with landlords and reviewing their portfolios and future plans. Not only does it build new or strengthen existing relationships with clients who will no doubt appreciate the support, it also helps to secure new business.”
She added: “Our separate analysis of industry data highlighted how landlords are often withdrawing equity to expand their portfolios or invest in those they already own. With rates coming down and demand remaining robust, purchases look more attractive. Additionally, some landlords may draw down funds to enhance the properties across their portfolios to ensure they’re compliant with the forthcoming Renters’ Rights Act and Minimum Energy Efficiency Standards regulations.”
