Almost four in 10 landlords expect to refinance buy-to-let borrowing over the next 12 months, with larger portfolio owners driving much of the activity as mortgages written during the 2021 boom start to fall due.
Research carried out by Pegasus Insight for Paragon Bank found 39% of landlords plan to refinance during 2026. Among those with four or more mortgaged properties, that rises to 53%, compared with 27% of landlords holding between one and three properties.
Refinancing wave builds around maturing five-year fixes
Paragon said £3.7bn of fixed-rate buy-to-let lending is due to mature over the coming 12 months, much of it tied to five-year deals taken out when the stamp duty holiday and low borrowing costs pulled investors back into the market.
Landlords who do plan to refinance expect to remortgage an average of 2.2 properties each, showing this is not just a single-loan tidy-up for small investors. For many, it is a broader review of borrowing across whole portfolios.
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.”
This follows Residential Landlord’s analysis of lenders building products around upgrade and timing pressures, which showed how borrowing decisions are becoming more closely tied to compliance work rather than simple rate shopping. The latest refinancing figures suggest that trend is spreading across mainstream portfolio management too.
That matters because refinancing is no longer only about chasing a lower rate. Some landlords will be looking to release equity for improvement works, while others will want longer certainty before further policy changes or a fresh regulatory deadline land. Recent evidence that landlord profitability is still holding up helps explain why many remain active borrowers rather than forced sellers.
The underlying Paragon Bank release suggests many investors are also using refinancing to fund improvement works or release capital, not just secure a new rate. That is an important distinction for landlords trying to judge whether the market is shrinking or simply rearranging itself.
Borrowing strategy matters more than rate alone
The practical risk for landlords is leaving refinancing too late and treating each property in isolation. Where several loans mature within months of each other, product choice can narrow quickly if affordability, rental coverage or improvement plans are not lined up early.
There is also a wider market signal here. A strong refinancing pipeline suggests many landlords still intend to stay in the sector, even if they are reshaping debt or trimming weaker stock. That is a different picture from the idea of a simple rush for the exit.
Opinion
This is one of the clearer signs that the landlord market is adjusting rather than shutting down. Refinancing demand on this scale points to owners still willing to commit capital, but only where the sums and the paperwork stand up. Lenders may find plenty of business this year, yet landlords who arrive late or unprepared could still pay for the privilege.
