The UK buy to let market continues to move quickly, and landlords are once again needing to interpret fast‑changing signals from SWAP rates, lenders and regulators. In this week’s update, Jeni takes a detailed look at the latest mortgage market movements, the adjustments lenders are making behind the scenes, and the significant implications of the upcoming Renters’ Rights Act.
Here’s your weekly MFB News update from 18th February 2026.
SWAP Rates: What’s Moving and Why It Matters
SWAP rates dipped again this week, with 2‑year SWAPs sitting at 3.38%, a decrease of 0.06% from the previous month and 5‑year SWAPs at 3.58% a 0.03% reduction, both lower than one month ago. While falling SWAPs usually signal good news for mortgage pricing, this shift is tied to weaker economic data, prompting markets to anticipate a Base Rate cut as early as March.
For landlords, the takeaway is twofold:
- Rates may fall further as lenders respond to cheaper funding.
- Market volatility remains high, particularly with inflationary pressures on the horizon.
Securing a rate early while keeping an eye on repricing opportunities remains a sensible strategy.
Lender Pricing: A Predictably Mixed Market
This week’s lender activity demonstrates just how sensitive pricing is to capital-market fluctuations. Some lenders have reduced rates slightly, while others have nudged pricing upward.
Here's a summary of this week’s buy to let lender pricing activity:
- Moda Mortgages reduced rates by around 0.1%
- TMW and Molo increased selected products
- Foundation made both increases and reductions across specialist ranges
It’s a reminder that:
- Non–deposit-taking lenders move quickest, as they’re exposed directly to SWAP rate funding.
- Building societies and large banks may adjust pricing for volume control as well as cost of funds.
Search thousands of buy to let mortgage rates here >>
Family Building Society: New Criteria Worth Noticing
The Family Building Society has made several landlord friendly changes that offer greater flexibility for limited companies and portfolio landlords.
1. No personal guarantees below 65% LTV
This removes extra cost and legal admin, making applications quicker and more straightforward for borrowers.
2. Up to eight directors accepted
Ideal for family businesses or larger company structures that don’t fit the typical four director cap many lenders use. director cap many lenders use.
3. No background portfolio stress testing
As long as your portfolio isn’t loss making overall, the lender won’t apply restrictive rental calculations, a major benefit for portfolio landlords.
Why it matters
These updates make borrowing simpler, cheaper and more accessible, especially for landlords with complex ownership setups or larger portfolios.
Search thousands of buy to let mortgage rates here >>
Renters’ Rights Act 2026: A Critical Warning for Landlords
From 1 May 2026, the Renters’ Rights Act introduces tougher rules and far higher penalties, making good compliance essential. The Act distinguishes mistakes by breaches and offences, each carrying different levels of risk.
Breaches – fines up to £7,000
These are usually administrative errors, such as:
- Issuing the wrong tenancy type
- Giving verbal notice instead of written
- Missing required information sheets
- Using incorrect possession grounds
While small in nature, repeated breaches within 5 years can escalate into offences.
Offences – can lead to points and fines up to £40,000
Offences involve more serious behaviour, including:
- Reletting within the 12month restricted period after using specific possession grounds letting within the 12 month restricted period after using
- Knowingly misusing possession routes
- Continuing a breach after being fined
Local authorities will oversee enforcement, and you will have 28 days to appeal or provide evidence. Keeping documentation organised will be vital.
Why this matters
With fines now reaching tens of thousands of pounds, you should use the coming months to tidy up paperwork, update templates and ensure processes are watertight.
Visit our Renters’ Rights Act Hub for more information >>
Landlord Scenario: What If a Sale Falls Through?
A landlord raised an important scenario:
You serve notice to sell after 1 May 2026.
The tenant leaves, triggering the 12month no letting period. month no letting period.
The sale then collapses.
Your fixed rate ends shortly afterwards, meaning you need to remortgage while the property must remain empty.
Can you remortgage?
Currently, lenders have not announced plans to change their criteria in response to the Act, and most say they would continue to underwrite based on:
- Property condition
- Market demand
- Standard affordability checks
This suggests remortgaging should still be possible. However, one lender has signalled that criteria may change once the Act is fully in effect, so policies could evolve over time.
Got a question? Get in touch >>
Final Thoughts
With SWAP rates shifting, lenders re‑benchmarking products, and the Renters’ Rights Act introducing major compliance risks, 2026 is shaping up to be a landmark year. Staying informed and working with a specialist broker will be key.
Next Steps
Get in touch, call our experts on 0345 345 6788 or submit an enquiry here to see how we can help.
