Jeni shares the latest developments shaping the UK buy to let market. She discusses the roll out of the Renters’ Rights Act, shifting SWAP rates and a change in credit scoring. Stay informed and plan your next move with confidence.
SWAP Rates: Why Volatility Matters
SWAP rates have been on a rollercoaster recently. After weeks of easing, they’ve ticked up slightly due to market uncertainty surrounding the Autumn Statement and government borrowing signals. Two-year SWAPs currently sit at 3.55%, compared to 3.58% a month ago and 4.2% a year ago. Five-year SWAPs are at 3.66%, up from 3.63% last month but down from 3.98% a year ago.
Many landlords are waiting for the December Base Rate meeting before making decisions, but here’s the reality: expected reductions are already priced into fixed rates. Waiting could mean missing out on today’s competitive deals. If you submit your applications now, you’re not locked in, you can switch later if rates improve.
Search thousands of buy to let mortgage rates here >>
Lender Pricing: Who’s Cutting Rates and Why
Despite SWAP rate jitters, several lenders have made bold moves to attract business:
- Leeds Building Society has reduced selected portfolio and non-portfolio rates by up to 0.3%, although arrangement fees have increased slightly.
- NatWest has trimmed rates by up to 0.22%, making them a strong option for landlords with smaller portfolios or those financing flats over commercial premises.
- Metro Bank’s entry into the 80% loan-to-value (LTV) space is particularly encouraging. When lenders increase exposure at higher LTVs, it signals confidence in property values. They’ve also dropped rates by 0.2%.
- BM Solutions continues to lead on pricing for properties with EPC ratings of A to C and has recently launched Limited Company products, offering landlords more flexibility.
- Foundation Home Loans has introduced discounted products with no early repayment charges, a lifeline for landlords who want flexibility to sell or restructure without hefty penalties.
Search thousands of buy to let mortgage rates here >>
Credit Scoring Shake-Up: Experian’s New System
Experian has introduced a major overhaul to its credit scoring model, moving from a 999-point scale to 1,250. Many consumers will see their score drop, even if nothing has changed. This shift is designed to reflect modern borrowing patterns, but it may cause confusion for landlords preparing to apply for finance.
Here’s what matters: lenders don’t use Experian’s score directly. They assess the underlying data, your payment history, credit utilisation, and account conduct. High utilisation, short-term borrowing, and payday loans can all hurt your mortgage prospects. Keep your credit file clean, avoid unnecessary borrowing, and monitor changes regularly. If your Experian score falls, don’t panic. Focus on managing your accounts responsibly, because that’s what lenders care about.
Read our blog on how lenders assess your creditworthiness >>
Renters’ Rights Bill: Big Changes Coming
Phase one of the Renters’ Rights Act takes effect on 1 May 2026, and it will reshape the private rental sector. Section 21 “no-fault” evictions will be abolished, and assured periodic tenancies will become the norm. Rent increases will be limited to once per year, and rental bidding will be banned. Landlords will also be prohibited from discriminating against families or benefit recipients, and you’ll be required to consider tenants with pets.
Enforcement is about to get serious. Councils will be legally obliged to police these rules, with fines starting at £7,000 and rent repayment orders extended to cover up to 24 months’ rent. Investigatory powers will expand, allowing councils to demand information from landlords, agents, banks, and even enter premises to check compliance. If you’re not already preparing for these changes, now is the time. Compliance will no longer be optional, it will be enforced.
What’s coming in the Renters’ Rights Act >>
What Should Landlords Do Now?
The market is moving fast. SWAP rates are volatile, lenders are adjusting pricing, credit scoring is changing, and regulation is tightening. Review your portfolio and financing strategy now. Consider lenders offering flexible products with no early repayment charges if you’re uncertain about long-term plans. And stay informed, because preparation is the best way to protect your portfolio.
Next Steps
Our team of experienced mortgage brokers is here to help you navigate the market and secure the best possible deal.
For tailored advice call us on 0345 345 6788 or submit an enquiry here and one of our team will call you back.
