In this week’s update, we’re diving into the latest movements in the UK mortgage and property markets, covering SWAP rates, lender criteria changes, inflation concerns, and Fleet Mortgages’ rental yield report. Whether you’re a seasoned portfolio landlord or just starting out, there’s plenty here to help you navigate the current landscape.
SWAP Rates: No Movement, But That’s Not Bad News
SWAP rates have remained static, which might sound dull, but in today’s climate, stability is a win. With speculation swirling around government policy and inflation, the fact that rates haven’t spiked is reassuring. For landlords, this means mortgage pricing is likely to stay consistent, though don’t expect dramatic reductions unless lenders decide to trim their margins.
Lender Pricing Updates
While the broader market remains steady, a few lenders have made noteworthy changes:
- Aldermore Mortgages re-released 2-year limited edition products, ideal for Limited Companies and layered structures.
- BM Solutions tightened green mortgage criteria, now only accepting properties with an EPC rating of A or B.
- Cumberland reduced holiday let rates, continuing its strong support for this niche sector.
Find your next BTL mortgage rate here >>
Meet the Lender: Keystone Property Finance
We recently spoke with Moises Cruickshank, Head of Sales at Keystone, who shared insights on how upcoming legislation, like the Renters Reform Bill, might affect lending. Keystone’s approach remains case-by-case, which is great news for landlords with more complex scenarios. Larger landlords may benefit most, as they’re better equipped to manage regulatory changes.
Moises explained that while Keystone doesn’t expect to change its criteria, the reforms could shift the makeup of the landlord market. Professional landlords are likely to adapt, while smaller landlords may find the new rules too burdensome. Keystone’s manual underwriting allows them to assess each case individually, making them a strong option for landlords navigating change.
Watch the full Meet the Lender interview with Keystone >>
Lender Criteria Changes You Should Know About
Several lenders made notable changes to criteria and offerings, which could open up new opportunities for buy to let landlords:
- HSBC now offers top slicing for buy to let mortgages, provided applicants earn £50,000+ annually. This could open doors for landlords with strong personal income but tight rental coverage.
- The Mortgage Works is offering free legal work on Limited Company remortgages. This is a welcome cost saver, especially given the typical legal fees involved.
- Moto Mortgages now accepts layered Limited Companies, reflecting the growing trend in estate and tax planning.
Find your next BTL mortgage rate here >>
Green Party’s Motion to Abolish Landlords
Yes, you read that right. The Green Party recently passed a motion proposing to abolish private landlords, citing the private rental sector’s failure to deliver value. While this isn’t official policy yet, it’s a stark reminder of the political headwinds landlords may face. The motion includes proposals like rent controls, scraping Section 21, and ending buy to let mortgages.
Inflation & Interest Rate Outlook
Inflation remains stubbornly above the Bank of England’s 2% target, with businesses planning further price hikes and weak hiring intentions. This stickiness in inflation will likely delay any Base Rate cuts, meaning landlords shouldn’t expect cheaper borrowing in the near term.
Fleet Mortgages Rental Yield Report: A Silver Lining
Fleet’s latest report offers a glimmer of hope. Rental yields are holding strong across the UK, with portfolio landlords and Limited Company borrowers dominating applications. Despite economic pressures, landlords continue to invest, proof of the sector’s resilience.
| Region | 2024 Q3 | 2025 Q3 | Year-on-year Change |
| North East | 9.7% | 9.0% | -0.7% |
| North West | 8.0% | 8.5% | 0.5% |
| Wales | 7.2% | 8.2% | 1.0% |
| Yourkshire & Humberside | 7.7% | 8.2% | 0.5% |
| East Midlands | 7.5% | 7.5% | 0.0% |
| West Midlands | 7.6% | 7.5% | -0.1% |
| South West | 6.1% | 7.0% | 0.9% |
| East Anglia | 5.9% | 6.6% | 0.7% |
| South East | 6.1% | 6.5% | 0.4% |
| Greater London | 5.9% | 5.9% | 0.0% |
| England & Wlaes Average | 7.2% | 7.5% | 0.3% |
Final Thoughts
While the market isn’t offering dramatic shifts, there’s plenty happening beneath the surface. From lender tweaks to political proposals, staying informed is key. If you’re considering your next move, whether refinancing, expanding your portfolio, or navigating new legislation, get in touch.
Next Steps
Even in a quiet mortgage market, landlords must stay informed. For tailored advice:
Call us on 0345 345 6788 or submit and enquiry here and one of our team will call you back.
