PR: What are the biggest challenges landlords and property investors face when securing finance in today’s market?
NJ: Landlords are grappling with higher interest rates compared to pre-2022 levels (though easing slightly), stricter affordability stress tests requiring rental income to cover payments by more than 125%, and regulatory pressures in the form of the rollout of the Renters’ Rights Act, as well as EPC upgrades, and tax hikes on rental income.
They are also facing a major wave of low-rate fixes from 2021 (when the Bank of England base rate was 0.1 per cent), which expire this year, with many facing hefty payment increases. The good news is that, if unemployment continues to rise, the Bank of England is expected to ride to the economy’s rescue with a further interest rate cut this year (possibly two), having delivered four last year. Rates ended 2025 at 3.75 per cent, having started at 4.75 per cent.
PR: How has the mortgage landscape changed for buy-to-let investors, and what should they be aware of when looking for financing?
NJ: While they are still low historically, BTL mortgage rates have risen considerably from their ultra-low rates to around 3.29% for competitive 2-year fixes. There’s been a renewed focus on limited company loans to mitigate tax changes. While there were 49,590 new buy-to-let loans advanced in the UK in Q2 2025 (UK Finance), this was down almost 3 per cent.
So not only are landlords facing headwinds from extra regulations and taxes, but they might find cheap finance harder to get hold of than it was three or four years ago. Investors who are set to remortgage this year should talk to a good broker.
PR: What strategies can landlords use to secure the best mortgage rates and terms, especially in a rising interest rate environment?
NJ: Economists at Deutsche Bank believe we will get half the rate cuts we got in 2026, expecting two cuts of 25 basis points each to bring the bank rate down to 3.25 per cent – they expect these to happen in March and June. I think that might be a bit punchy, and I therefore suggest landlords focus on pulling together slightly larger deposits (ideally more than 25per cent for lower LTVs and better rates) and using a specialist broker to access exclusive deals from a wide panel.
You could also consider opting for 5-year fixes to lock in some stability, purchasing energy-efficient properties for potential green discounts and structuring via a limited company for tax efficiency.”
PR: What common mistakes do property investors make when applying for mortgages, and how can they avoid them?
NJ: Common pitfalls we see BTL landlords making are underestimating the required deposit, failing rental income stress tests (by not verifying projected rent accurately), or trying to apply without professional advice (which increases your chance of being rejected by lenders). Get a decision in principle first, and work with an experienced broker to find the right lender for you from the start.”
PR: If you could give one piece of advice to landlords looking to expand their portfolio, what would it be?
NJ: Get expert advice, tailored to you and get it early in the process. Talk to a specialist broker; Access FS can certainly help you navigate the process, and we thrive on tackling complicated cases. We can help landlords access the best products to help drive their long-term growth. Reach out to Access FS – we're here to help you secure the right finance and grow your portfolio successfully.
