360 Portfolio Review: Insights for the 2025 Buy-to-Let Market. The latest UK Finance data shows a clear rise in remortgage activity. In Q4 2024, remortgage transactions totalled £6.3 billion. This marked an increase from £5.7 billion in Q3 and a 41.7% rise year on year.
While purchase activity grew by 58.9%, remortgages dominated the buy-to-let (BTL) sector last year.
This positive trend looks set to continue in 2025. Confidence is growing, and there remains a shortage of private rental homes. This is likely to boost purchase activity, but remortgages remain the stronger opportunity for landlords and brokers.
360 Portfolio Review | Landlords: When Did You Last Review Your Portfolio?
When did you last complete a full review of your property portfolio?
Regular reviews of your mortgage terms, rental yields, and property values are essential. Keeping pace with current market trends helps you manage risk and maintain profitability.
Interest rates, tenant demand, and lender criteria can change quickly. By assessing your portfolio, you may find ways to release equity, improve cash flow, or fund new purchases.
Reviews also help you prepare for mortgage maturities and address potential affordability concerns in advance.
A timely review can turn your portfolio from reactive to well-managed. Regular checks keep you in control and ready to act when market conditions shift.
Why Remortgages Matter in 2025
This year, more than 190,000 BTL mortgages, worth £26.2 billion, will mature. This figure excludes internal product transfers. The real number of remortgage opportunities is likely even higher.
Landlords are also releasing equity from unmortgaged properties. Paragon Bank reports that 17% of BTL mortgages last year were secured against such homes.
These landlords are taking advantage of post-pandemic house price growth. By remortgaging with lower loan-to-value ratios, they can tackle current affordability issues. This approach also gives access to a wider choice of competitive mortgage products and rates.
Common strategies include:
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Buying higher-yield rental properties
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Funding upgrades for existing rentals
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Increasing total returns
360 Portfolio Review | The Impact of Maturing Mortgages
Upcoming maturities reveal key trends:
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137,000 five-year fixes from 2020, originally at ultra-low rates
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54,000 two-year fixes from 2023, often above 4%, due to market turbulence
For two-year fixes from 2023, current average rates of 4.4% offer some relief. Average monthly repayments have dropped from £1,183 in 2023 to £1,083 today.
However, landlords coming off five-year fixes from 2020 will see increased borrowing costs. Even with rents rising by 33% over five years, costs will be higher than during the low-rate period.
| Category | Key Information (2025) |
|---|---|
| Remortgage Market Size (Q4 2024) | £6.3 billion — up 41.7% YoY |
| 2025 Mortgage Maturities | 190,000+ BTL mortgages worth £26.2 billion maturing this year |
| Five-Year Fixes (from 2020) | ~137,000 mortgages maturing in 2025 |
| Two-Year Fixes (from 2023) | ~54,000 mortgages maturing in 2025 |
| 2023 Average BTL Mortgage Rate | 5.34% |
| 2025 Average BTL Mortgage Rate (current) | 4.40% (approx.) |
| Change in Typical Monthly Payments | Down from £1,183 (2023) to £1,083 (2025) |
| BTL Product Switch Market (Q2 2023) | £13.5 billion — peak level for product switches |
| Rental Growth (5-Year Average) | 33% increase in average rents since 2020 |
| Unencumbered BTL Mortgages (2024) | ~17% of new BTL mortgages written on previously mortgage-free properties |
| House Price Growth (Post-Pandemic) | Significant — contributing to increased equity for landlords |
| Affordability Constraints | Eased slightly, but remains a factor for highly leveraged landlords |
| Broker Value | Essential for navigating lender criteria, rates, and affordability tests |
360 Portfolio Review | The Role of Product Switching
Product transfers, or product switches, are now a popular tool. They help landlords manage affordability without the need for full re-underwriting.
In Q2 2023, product transfers hit £13.5 billion. Eight in 10 Paragon borrowers chose this route last year.
Although rates have softened, affordability tests remain tight. For many landlords, product switches remain a practical choice.
Not all lenders offer this option. A skilled mortgage broker can help landlords explore the full market and plan ahead for their portfolio.
Why Brokers Matter More Than Ever
Today’s BTL market is more complex than the pre-pandemic period of low rates. Economic uncertainty and rate changes mean landlords must take a more strategic approach.
Mortgage brokers play a vital role. By tracking maturity dates and reviewing options, brokers help landlords manage costs and grow their portfolios.
Brokers who offer this strategic service build lasting relationships. They also position themselves as the trusted source for future remortgage and purchase needs.
360 Portfolio Review | Key Takeaway
Remortgages present significant opportunities in 2025. Landlords can release equity, switch products, and address affordability challenges.
A full 360 portfolio review by an expert adviser helps landlords future-proof their investments. For brokers, this ensures stronger client relationships and a reliable business pipeline.
Thank you for reading our publication “360 Portfolio Review | Opportunities for Landlords.” Stay “Connect“-ed for more updates soon!
