Almost four in 10 landlords plan to refinance property during the next 12 months as thousands of five-year fixed-rate mortgages mature.

Paragon Bank research reveals that 39% intend to refinance, a figure that increases in line with portfolio size. Over half (53%) of those with four or more BTL 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 research, which covers Q4 2025, shows that refinancing has steadily increased over time, with the same quarter in 2020 seeing an average of 27% of landlords with similar plans.

Data

Industry data 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 800 landlords also reveals 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.

Personal

Most properties, (78%), will be refinanced in a personal name, with 19% in a limited company.

Louisa Sedgwick, MD of mortgages, says 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.”

She adds that 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.”

‍