Landlords get new buy to let mortgage rate cuts

UK landlords seeking to refinance their buy to let mortgages have been presented with new options as three lenders announce rate reductions and product launches. These changes come amid ongoing concerns about affordability and the need for greater flexibility in the buy to let market.

Leeds Building Society cuts buy to let rates

Leeds Building Society has reduced interest rates across its buy to let mortgage range by up to 0.22%. Notably, its five-year fixed rate product, available until 31 August 2031, has dropped from 4.89% to 4.67%. This product is offered up to 60% loan to value (LTV) and includes a £1,499 completion fee alongside a free standard valuation worth up to £999.

Jonathan Thompson, senior product and pricing manager at Leeds Building Society, commented: “We’re pleased to be reducing mortgage rates by up to 0.22% across our range, providing further support to borrowers at a time when affordability remains a key concern.”

Foundation relaunches and expands buy to let offerings

Foundation, an intermediary-only specialist lender, has reintroduced several buy to let products that were withdrawn earlier this year, alongside cutting rates on multi-unit freehold blocks (MUFB) and holiday let mortgages. Among the reintroduced products is the ERC3 fixed-rate mortgage, which carries early repayment charges for the first three years of a five-year term.

The lender has added five new products, including F1 and F2 remortgage-only five-year fixed rates at 75% LTV. The F1 product is priced at 6.44%, while the F2 rate stands at 6.54%. Both come with a free standard valuation, £500 cashback, and no application fee.

New five-year fixed rate buy to let deals from Foundation

Foundation has also launched an F1 ERC3 five-year fixed rate at 75% LTV, priced at 6.39% with a 1.5% fee. Additionally, the F1 EPC Saver five-year fixed rate is available at 6.49%, featuring a 1.25% fee, £1,000 cashback, and a free energy-saving audit through Vibrant Energy Matters.

Other new products include an F2 short-term let five-year fixed rate at 75% LTV, priced at 6.74% with a 1.25% fee, no application fee, and a free standard valuation. Foundation has also reduced its MUFB five-year fixed rate by 0.15% to 6.09% with a £4,995 fee, and its holiday let five-year fixed rate by 0.10% to 6.24%, also with a £4,995 fee.

Grant Hendry, Foundation’s director of sales, said: “We think the return of the ERC3 five-year fixed rate will be particularly welcome. It’s a product that has been consistently popular with brokers, especially for landlord clients who want a balance between early repayment flexibility and longer-term certainty.”

The Mortgage Works introduces new buy to let products

The Mortgage Works (TMW) has launched new buy to let products, including one-year fixed rates and a two-year tracker. For new customers, TMW has reduced selected buy to let, house in multiple occupation (HMO), and limited company rates across one-, two-, and five-year fixed products.

Its two-year fixed buy to let product for purchase and remortgage has been cut by 0.12% to 3.32%, with a 3% fee, available up to 65% LTV. The two-year fixed limited company buy to let product has been reduced by 0.15% to 4.34%, with a 3% fee, available up to 75% LTV and includes a free valuation.

Further buy to let rate reductions and new products from TMW

TMW has also cut a two-year fixed limited company HMO product by 0.20% to 4.39%, with a 3% fee, available up to 75% LTV. New products include a one-year fixed buy to let product for purchase and remortgage at 4.34%, available up to 75% LTV with a 1% fee.

Additionally, a remortgage-only one-year fixed product is offered at 4.84%, up to 75% LTV, with a 1% fee, free valuation, and free legal work. Keir Fraser, lead manager at TMW, stated: “These latest rate reductions and new products, including one year fixed and two-year tracker options with a 1% fee, are designed to give landlords greater flexibility and choice in a changing market.”

What this means for landlords

These recent rate cuts and product launches provide landlords with more competitive financing options at a time when many face rising refinancing costs. The availability of products with varying fixed terms, early repayment charge structures, and incentives such as cashback and free valuations offer landlords greater choice to tailor mortgages to their financial strategies and risk appetite.

For landlords seeking to balance affordability with flexibility, products like Foundation’s ERC3 fixed rate and TMW’s one-year fixed options may be particularly attractive. Meanwhile, reductions in rates on specialist products such as MUFB and holiday lets reflect lenders’ recognition of the diverse needs within the buy to let sector.

Source: Based on reporting from Property118

TLA Training Academy

The Landlord Association has launched its new Training Academy for UK landlords, providing structured guidance, compliance education, and practical knowledge to support landlords at every stage. Members can now complete the programme and become TLA Certified Landlords at no additional cost as part of their membership.

Landlords can explore the Academy here: https://landlordassociation.org.uk/tla-academy/

Those looking to join and access the full training and certification can register here: https://landlordassociation.org.uk/landlord-association-membership-uk/

TLA update

The Landlord Association is currently onboarding new service providers into its Trusted Partner Hub, a new initiative designed to support landlords, tenants, letting agents, and property managers with vetted, high-quality services. As one of the fastest growing landlord associations in the UK, TLA offers partners direct access to an engaged and active member base at the point of need. Service providers across legal, maintenance, insurance, finance, mortgages, tenant screening, and property services can register their interest here: https://landlordassociation.org.uk/become-a-tla-service-partner/