If you've been waiting for a clear signal on where mortgage costs are heading in 2026, the Bank of England hasn't given you one yet and that, in itself, is useful information.
The Monetary Policy Committee held the Base Rate at 3.75% at its 18 June meeting, voting 7–2 in favour of holding rather than raising it to 4%. Inflation has eased to 2.8%, but the Bank expects it to creep back up later this year as higher energy costs driven by the conflict in the Middle East continue to filter through the economy. The next decision lands on 30 July 2026, and right now the market is genuinely split: some economists still think a rate rise is possible this summer, others believe the Bank will hold steady well into 2027, and a few are penciling in cuts if the labour market keeps softening.
For landlords, that uncertainty is the headline. But underneath it, some genuinely good news has already started coming through.
The bit most landlords have missed: lenders are cutting rates anyway
Here's the details that matters. Even with the Base Rate on hold, a wave of buy-to-let lenders have quietly trimmed their fixed rates over the past few weeks:
● The Mortgage Works has cut selected two-, three- and five-year fixes by up to 0.26%, with a two-year fixed BTL remortgage product now down to 3.49% at 65% LTV.
● Accord Mortgages has reduced selected buy-to-let fixed rates by up to 0.3%, with two year fixes now starting from 4.54%.
● BM Solutions has cut both standard and limited company buy-to-let rates.
● Landbay has trimmed up to 0.4% off selected two-year fixed deals.
● Rely (part of OSB Group) has launched a limited edition range for non-portfolio landlords starting from 3.51%.
This is the key thing to understand: fixed mortgage rates don't move in lockstep with the Base Rate. Lenders price ahead of Bank of England decisions based on swap rates essentially, what they expect borrowing costs to be over the life of the deal not after them. So a "hold" from the Bank doesn't mean a hold on what's actually available to you. If you're coming up to a remortgage, the products on the table today are, in several cases, better than they were even a couple of months ago.
How to use this to your advantage
1. Don't wait for a Base Rate cut before you act. Timing the market perfectly is nearly impossible, and the cost of waiting for a property that gets away from you, or a rate that moves the wrong way while you sit on the sidelines usually outweighs the saving from holding out for a marginally better deal. If your fix is ending in the next six months, it's worth getting a new rate secured now. Most lenders let you lock in a new deal three to six months ahead of your current one expiring, and many offer free rate-switching if something better appears before completion.
2. Know your numbers before you choose fixed vs. tracker. With genuine uncertainty over whether the Base Rate rises, holds, or falls before the end of 2026, this is a real decision, not a formality:
● Fixed rates give you payment certainty useful if you're running a tight margin between rent and mortgage cost, or you simply want predictable cash flow to plan around.
● Tracker mortgages move directly with the Base Rate. If you believe cuts are more likely than rises over your holding period, and you can absorb some payment volatility, a tracker with no early repayment charges gives you the flexibility to switch the moment fixed rates improve.
A rough rule of thumb worth sharing with landlords: every 0.5% change in your mortgage rate moves annual cash flow by roughly £750 for every £150,000 of mortgage debt. That's the scale of what's at stake in this decision.
3. If you're on a Standard Variable Rate right now, that's costing you the most. SVRs are typically the most expensive option available and are best treated as a short-term holding position, not a strategy. If you've drifted onto one after a fix ended, this is the single easiest win available this month.
4. Factor in fees, not just the headline rate. A 2-year fix with a 3% lender fee on a £150,000 loan effectively adds 0.5% a year to your real cost; the same fee on a 5-year fix only adds about 0.2% a year. When two products look close on rate, the one with the lower fee (or the longer term) often wins on total cost always compare like-for-like over the full fix period.
5. Think about portfolio strategy, not just your next remortgage. Several lenders have used this period of relative rate stability to loosen criteria rather than just price Accord has cut minimum income requirements for top slicing, Paragon has expanded tracker ranges and removed minimum income requirements for portfolio landlords, and specialist lenders are increasingly supporting HMOs, limited company structures, and non-standard portfolios. If you've been holding off on expanding or restructuring because criteria felt too tight, it's worth revisiting the landscape has shifted more than the headline Base Rate figure suggests.
How we can help
Navigating a "wait and see" rate environment isn't something you should have to do alone, and it's exactly where a good letting agent earns their fee. Here's what we're doing for landlords right now:
● Reviewing remortgage timelines. If your fix ends in the next 6–12 months, we'll flag it early so you're not forced onto an SVR by default, and we can point you towards whole-of-market brokers who can access the lender-specific and exclusive rates mentioned above.
● Benchmarking your rent against the current market. With borrowing costs shifting, it's worth confirming your rent is still positioned correctly not leaving money on the table, but not pricing yourself out of a market where void periods are the biggest hit to any landlord's return.
● Advising on EPC and property standards. Several lenders are now offering better terms for EPC A–C rated properties. If yours doesn't currently qualify, we can talk through cost-effective improvements that may pay for themselves in cheaper finance alone.
● Portfolio and structuring conversations. If you're considering incorporation, adding to your portfolio, or restructuring, we work alongside mortgage brokers and accountants who specialise in landlord finance and can make sure timing and tax planning are aligned.
● Keeping you ahead of regulatory change. With Renters' Rights Act changes continuing to roll out through 2026, we're tracking what's coming next so you're never caught off guard.
The Base Rate might be on hold, but the market underneath it isn't standing still and that's where the opportunities are for landlords who stay engaged rather than waiting for a headline announcement. If you'd like a no-obligation review of your current mortgage position, rental valuation, or portfolio strategy, get in touch with the team.
This article is for general information only and does not constitute financial or mortgage advice. Landlords should speak to a qualified, whole-of-market mortgage broker or independent financial adviser about their individual circumstances. Rates and lender criteria mentioned are correct as of late June 2026 and are subject to change.
