Buy-to-let refinancing has returned to a record high as landlords respond to the expiry of fixed-rate mortgage deals, research from Pegasus Insight suggests.

Its latest Landlord Trends research found that 57% of leveraged landlords arranged a new loan, remortgage or product transfer in the 12 months to June.

The proportion increased by 10 percentage points from the previous quarter, matching the record first reported at the end of 2025. It was also substantially higher than the 39% recorded two years earlier.

Remortgages and product transfers accounted for about eight in 10 recent transactions, while mortgages used for property purchases represented just 8%. The figures indicate that refinancing, rather than portfolio expansion, is generating most new business for buy-to-let lenders.

The fixed-rate cycle is contributing to the activity. Some 62% of mortgaged landlords have had a fixed-rate deal expire during the past two years.

Of those borrowers, 60% refinanced with their existing lender and 29% moved to a different provider.

Almost two-thirds of landlords began arranging a replacement deal between three and six months before their fixed rate ended. Higher interest rates and difficulties finding a competitive deal were the challenges most frequently reported at renewal.

Over the coming 12 months, 40% of borrowers intend to remortgage or arrange a product transfer, covering an average of about 2.5 loans each.

Among portfolio landlords with four or more buy-to-let mortgages, about half expect to refinance during the period, involving an average of 3.7 loans.

Fixed-rate products remain the preferred option, with two-year and five-year terms attracting equal levels of interest. However, 28% of landlords have yet to decide which type of product they will choose.

Two-thirds of landlords arranged their most recent buy-to-let mortgage through an intermediary. The proportion increased to three-quarters among portfolio landlords.

A competitive interest rate was the most important consideration when choosing a mortgage, followed by low upfront fees and charges.

Bethan Cooke, director at Pegasus Insight, said: “Buy-to-let is currently first and foremost a refinancing market, with landlords remortgaging and arranging product transfers at record levels.

“The point at which a fixed rate matures has become a pivotal moment in the lending relationship. Most landlords stay with their existing lender when their deal ends, but a significant minority look elsewhere, and because they begin researching their options months before expiry, there is a genuine window for lenders to engage early with competitive rates and low fees, the two things landlords tell us they care about the most.

“For intermediaries, the picture is an encouraging one. Portfolio landlords in particular are managing multiple loans on different timelines and clearly value advice, and with deals maturing month after month, brokers who stay close to those clients as their fixed rates approach expiry are well placed to help them find the right deal.”