Buy-to-let market update – October 2026

BY: Doug Hall, director, 3mc

Welcome to ‘Buy-to-let market’, a column aimed at providing you with recent criteria and product updates within the buy-to-let (BTL) lending markets. Note, any product update reflects the lenders most recent update, rather than all updates since the previous publication. The information within this article is correct as at 15/10/2026.

Buy-to-let market update:

BM Solutions – has updated their personal ownership BTL and let-to-buy range, products at 65 per cent and 75 per cent loan to value (LTV) will be combined into a single 0-75 per cent LTV band, with 0-65 per cent LTV products withdrawn.

The lender has also updated their self-employed income evidence and for all applications that have been fully submitted from Tuesday 6 October 2026. The latest tax calculations and tax year overviews must be for tax year 2025/2026.

The Mortgage Works – has made selected rate increases and reductions across its new business range. New business fixed rates start from 3.49 per cent, while tracker rates start from 3.99 per cent. The lender has advised all trackers will include a switch-to-fix option.

The lender has also made enhancements to its application process to broaden support for landlords including age criteria and maximum total borrowing. The lender has increased the maximum age at application for first-time landlords from 70 to 75, up to 70 per cent LTV. There is also no maximum age for experienced landlords applying up to 70 per cent LTV, up from 65 per cent LTV.

In addition, the maximum total borrowing a landlord can hold across all mortgages with the Nationwide Group has increased from £7.5 million to £10 million.

NatWest – has decreased selected BTL new business rates, including their two-year fixed rate purchase at 75 per cent LTV, which has decreased by 0.43 per cent to 4.16 per cent, with a lender fee of £3,999.

HSBC – has decreased rates across selected two-year and five-year BTL remortgage products.

Accord Mortgages – has decreased rates on its BTL range, supporting landlords with smaller deposits. The biggest changes affect selected products available for house purchase up to 80 per cent LTV and include reductions of up to 0.43 per cent on two-year fixes, with five-year rates decreasing by up to 0.23 per cent.

For landlords with a 25 per cent deposit or more, rates have decreased by up to 0.07 per cent on two-year fixes and by up to 0.04 per cent on five-year rates.

The lender has increased their income coverage ratio rate (ICRR) used to assess background BTL properties from 5 per cent to 5.25 per cent. The lender has also reduced the background BTL ICRR to 125 per cent (down from 145 per cent), where the lender can verify that the applicant is a basic-rate taxpayer.  Higher-rate taxpayers will continue to be assessed using a 145 per cent ICRR.

Santander – has decreased selected BTL purchase and remortgage rates with a £1,749 lender fee by up to 0.16 per cent, now starting from 4.89 per cent.

Paragon Bank – has launched new BTL fixed rates, two-year fixed rates now start from 3.80 per cent and five-year fixed rates now start from 4.80 per cent, at the same time, selected five-year fixed rates will have no early repayment charge in year 1 and 3 per cent in years 2,3,4,5.

The lender has also updated the rates on the shared exclusive range of products for SAL members. These selected products have a reduction of 0.25 per cent on the lender completion fee when compared to the lender core range.

Landbay – has expanded its BTL tracker mortgage range with new products while reducing rates on selected existing tracker deals by up to 0.15 per cent. The new products have been added across its premier range.

Among the new additions are premier like-for-like automated valuation model two-year trackers at 75 per cent LTV, with rates starting from bank base rate plus 0.34 per cent. Designed for landlords refinancing without additional borrowing, both products are available without early repayment charges and benefit from a reduced stress rate of 4.5 per cent or pay rate, which can improve affordability.

Foundation – has launched two BTL F1 limited-edition remortgage-only products at 75 per cent LTV. The new products include a F1 limited-edition two-year fixed remortgage only product at 75 per cent LTV, with a rate of 4.99 per cent, a 4 per cent lender fee, one free standard valuation, £250 cashback and no application fee.

In addition, it has launched a F1 limited-edition five-year fixed remortgage only product at 75 per cent LTV, with a rate of 5.84 per cent, a 5 per cent lender fee, one free standard valuation, £250 cashback and no application fee.

In addition, the lender has reduced rates on selected BTL mortgages by up to 0.1 per cent and amended its holiday-let lending criteria to allow owners to occupy their properties for up to 60 days a year.

The lender has also launched a semi-exclusive product available through selected partners including SAL Mortgages/3mc. The product is a five-year fixed rate with early repayment charges in the first three years only.

Aldermore Bank – has increased selected BTL fixed rates by up to 0.17 per cent, two-year fixed rates now start from 4.11 per cent, and five-year fixed rates now start from 5.21 per cent.

LendInvest – has overhauled its BTL tracker mortgage range by removing early repayment charges, decreasing rates and increasing maximum LTV limits.

Shawbrook – has decreased rates on selected BTL products, including reductions of up to 0.25 per cent on larger loans.

For further information on BTL mortgages both for individuals and limited companies please contact SAL Mortgages on 0131 450 7169 or visit the SAL website www.scottishlandlords.com .

Please note lenders have different minimum criteria requirements and not all landlords and property types will qualify for a specific product. The product rates are correct at the time of writing the article and are subject to change.

This is an advertisement only and in no way should be viewed as a personal recommendation or advice. Before a recommendation of the suitability of the product can be given, we will direct you to 3mc (UK) Limited who can provide specialist mortgage advice. As part of this they will ask questions so that they can fully understand your circumstances before giving advice.

SAL Mortgages is operated exclusively for the Scottish Association of Landlords (SAL) by 3mc (UK) Limited who is Authorised and Regulated by the Financial Conduct Authority and is entered on the FS Register under reference 302992.

Please note: 3mc can advise/arrange Business Buy to Let (BBTL) and Consumer Buy to Lets (CBTL). Of the two, only Consumer Buy to Lets are regulated by the FCA.

THINK CAREFULLY BEFORE SECURING OTHER DEBTS AGAINST YOUR HOME. YOUR HOME MAY BE REPOSSESSED IF YOU DO NOT KEEP UP REPAYMENTS ON YOUR MORTGAGE.

ANY PROPERTY USED AS SECURITY MAY BE REPOSSESSED IF YOU DO NOT KEEP UP REPAYMENTS ON YOUR MORTGAGE.

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