Seven in 10 (71%) buy-to-let landlords are selecting a 5-year fix when remortgaging, a survey from Landbay has found.
This represents an increase from under half (49%) last year.
Two in 10 landlords are set to opt for a shorter two-year fixed rate, a drop from a third in the previous survey.
Rob Stanton, sales and distribution director at Landbay, said: “The topic of mortgage maturity is regularly discussed in the residential market, but we mustn’t forget the many landlords set to remortgage too.
“As we have seen in previous years, our data shows that fixed-rate products continue to be the product choice for many, providing that welcome stability in a challenging market and climate.”
longer-term fixes of seven or 10 years saw a slight increase in preference, with 6% of landlords set to choose this option, up from 4% last time.
However variable tracker rate mortgages are less popular than last year, with just 3% of landlords set to make this choice, a fall from 14% in 2023.
Stanton added: “It is interesting to see a decline in demand for trackers, particularly as we enter a period where we could see further movement on base rate, and in turn on mortgage rates.
“This, along with a small increase in demand for longer-term fixes may highlight that some landlords are still a little way off from remortgaging and are hoping to make their move during more favourable market conditions.”
Of those planning to choose a five-year fixed rate, the majority is made up of those operating within limited companies (71%).
At 42%, landlords with portfolios between four and 10 properties made up the biggest share of those opting for a five-year fix, followed by nearly a quarter of landlords with portfolios of 20 properties or more (24%).