If you’re a UK buy to let landlord at the moment, it’s very easy to feel overwhelmed. Between fluctuating mortgage rates, shifting lender behaviour and a steady stream of regulatory changes, there’s a lot to keep up with and very little margin for error.
In this update, we focus on what’s actually happening in the UK mortgage and property market right now, what the data is telling us, and how landlords can respond sensibly rather than reactively.
Here’s your weekly MFB News update from 22nd April 2026.
SWAP Rates: Quietly Moving in the Right Direction
Let’s start with SWAP rates, because these remain the single biggest driver of fixed rate buy to let mortgage pricing.
Over the past month, both 2 year and 5 year SWAPs have edged down. 5 year SWAPs are now sitting just under 4%, compared to around 4.28% a month ago. That may not sound dramatic, but it is a meaningful move in the right direction.
Looking specifically at 2 year SWAP rates, the change has been more pronounced. They have fallen from around 4.40% a month ago to approximately 3.95%, a reduction of 0.45 percentage points, representing a month-on-month fall of just over 10%. However, on a year on year basis, 2 year SWAPs remain higher, having risen from roughly 3.66% this time last year, an increase of around 0.29 percentage points.
What you need to understand is that lenders don’t reprice overnight. Cutting buy to let mortgage rates involves treasury sign off, compliance checks and internal processes. Some lenders are quick to respond; others wait until movements are more sustained.
What we are seeing at the moment is not a clear downward pricing trend, but rather lenders making small adjustments up and down. However, if SWAP rates remain at current levels or soften further, it is reasonable to expect more noticeable reductions in fixed rate buy to let mortgage pricing to follow.
Base Rate: Why Waiting for Cuts Could Backfire
There’s a lot of noise in the media about Base Rate cuts, but the reality is more nuanced.
The current expectation is that the Bank of England Base Rate (BBR) will remain unchanged in the near term. Inflationary pressures and global uncertainty are making the Monetary Policy Committee (MPC) extremely cautious. Looking further ahead, the consensus view is that Base Rate reductions this year may be limited or do not happen at all.
For landlords, this is important: fixed rate buy to let mortgages are driven far more by SWAP rates than by Base Rate decisions. Waiting for a Base Rate cut before acting often means missing opportunities.
That’s why we continue to recommend securing a mortgage rate early where possible. Most buy to let mortgage applications can be amended or switched if pricing improves, but only if you’ve already reserved a deal.
Why Interest‑Only Mortgages Are Dominating Again
One of the most striking trends right now is the resurgence of interest only buy to let mortgages.
Recent data suggests that around 78% of new landlords are choosing interest only, the highest proportion since 2022. From where we sit, this makes complete sense.
With higher interest rates, property investors are prioritising cash flow. Keeping monthly committed costs as low as possible provides breathing space, whether to manage tax bills, cover voids, or simply reduce financial pressure.
For many of you, interest‑only borrowing still forms the backbone of a long‑term investment strategy. Surplus rent can be retained, used for lump‑sum overpayments, or recycled into future purchases.
It’s also worth noting that lenders generally stress‑test interest‑only and repayment mortgages in the same way. Choosing interest‑only doesn’t limit borrowing power, it simply gives you flexibility.
Repayment Mortgages: Still an Option Worth Considering
While interest‑only remains the norm, some landlords are revisiting repayment mortgages, particularly those with smaller portfolios or longer term retirement planning in mind.
Over the last few years, we have seen more clients asking whether paying down debt should be the priority rather than ongoing expansion. That conversation has quietened recently, but it hasn’t disappeared altogether.
If your goal is mortgage‑free rental income later in life, repayment borrowing can absolutely play a role. What matters is running the numbers properly and ensuring affordability aligns with your wider strategy.
Learn more about Interest-Only and Repayment Mortgages in our FAQs >>
Making Tax Digital: Now a Reality for Many Landlords
Making Tax Digital is no longer a future concern; it’s here.
Any landlord with a total gross income over £50,000 now needs to file quarterly digital tax returns using HMRC‑approved software. This applies to rental income as well as salary, pensions, and other earnings.
The biggest risk here isn’t tax itself, it’s compliance. Missed deadlines and disorganised records are likely to result in penalties. If you haven’t already spoken to your accountant about how Making Tax Digital affects you, now really is the time.
Find out more on how to prepare for Making Tax Digital >>
Rent Controls & Enforcement: Why Compliance Matters More Than Ever
Another issue firmly on the radar is the growing discussion around rent controls, particularly following the precedent set in Scotland. While no immediate changes are planned in England, the political conversation is clearly ongoing.
At the same time, councils are receiving additional funding to enforce landlord regulations under the Renters’ Rights framework. That means more inspections, more scrutiny, and significantly higher penalties for non compliance, with fines reaching up to £40,000.
Even if you only own one buy to let property, record keeping and compliance are now absolutely essential. Assuming you’ll “fly under the radar” is no longer a safe bet.
Final Thoughts: Acting Early Beats Waiting for Perfect Conditions
Despite everything, landlords are still transacting, and in many cases, doing so very successfully.
Quieter property markets often create the best buying opportunities, particularly for proactive, well‑prepared investors. Securing mortgage rates early, staying on top of regulations, and focusing on cash‑flow resilience are the themes we’re seeing repeatedly among landlords who are coping best.
There’s no such thing as a perfect market, but there is such a thing as being prepared.
If you’d like to talk through your buy to let mortgage options or sense check your strategy, a conversation with an experienced broker can make all the difference.
Speak to an expert
Whether you’re remortgaging, considering HMOs, restructuring your portfolio or ensuring regulatory compliance, early professional advice plays a critical role. An informal conversation at an early stage often provides clarity well before key decisions are needed. Call us on 0345 345 6788 or submit an enquiry here.
