What is the current buy-to-let mortgage rate?
The average rate on new buy-to-let loans was 4.82% in Q2 2026 (UK Finance). On our panel at 75% LTV, the cheapest 2-year fix on total cost is 5.24% and the cheapest 5-year fix 5.64%.
| Deal | Lowest rate | Cheapest overall | True cost* | Rent per £100k** |
|---|---|---|---|---|
| 2-year fix75% LTV | 3.64%7% fee | 5.24%£1,499 fee | 5.65% | £754 |
| 5-year fix75% LTV | 4.92%3% fee | 5.64%0% fee | 5.64% | £588 |
*True cost: yearly cost over the fixed period with the fee added, on a £200,000 loan at 75% LTV. The lowest rate often carries a big fee; the cheapest overall is the one we'd look at first. **Monthly rent needed per £100,000 borrowed for the cheapest overall deal at 125% cover (limited company or basic-rate; higher-rate taxpayers are usually tested at 145%). Rates as at 23 October 2026, from lenders' guides; they change often and can be withdrawn without notice. Every case is subject to the lender's underwriting.
The lowest rate you see advertised is rarely the cheapest deal. It usually carries a large percentage fee, which is added to the loan and paid back over a short fixed period:
What does buy-to-let mortgage mean?
A buy-to-let mortgage is a loan to buy or refinance a property you rent out rather than live in. The lender lends mainly on the rent the property earns, not just your income, and most buy-to-let mortgages are interest only.
Lenders split them by property and borrower: a standard house or flat, an HMO, a block of flats, holiday lets, and loans to individuals or a limited company. Each has its own lenders and rules, which is why the right lender matters as much as the rate.
Is it easy to get a buy-to-let mortgage?
Yes, if you have a 20 to 25% deposit, the rent passes the lender's rent test and your credit is reasonable. First-time landlords, HMOs and limited companies can all borrow, from fewer lenders.
- Deposit: usually 20 to 25%; less choice below that.
- The rent test: the rent has to cover the interest by 125% to 145% at the lender's stress rate.
- Income: some lenders want a minimum personal income, often around £25,000; others have none.
- Experience: first-time landlords are accepted by many lenders; HMOs and blocks may need a track record.
- Credit: older or minor issues can be fine with the right lender, case by case.
What is the minimum deposit for a buy-to-let mortgage?
Usually 20 to 25%. A few lenders go to 85% LTV, a 15% deposit, on selected products, and 20% deposits are available on HMOs and limited company purchases, case by case.
A bigger deposit gets better rates: the best pricing usually starts at 60% or 65% LTV. See buy-to-let deposits for gifted deposits, equity release and director's loans, and 80% LTV buy-to-let if you want to put down the least.
How much can I borrow?
Up to 85% of the value on selected products, and 75 to 80% with most lenders, but only if the rent passes the lender's stress test. The monthly rent has to cover the interest, worked out at the lender's stress rate, by 125% for a limited company or basic-rate taxpayer and usually 145% for a higher-rate taxpayer. Whichever limit is lower sets your loan.
Example: on a £250,000 property, 85% is a £212,500 loan. Tested at 125% and a 5.5% stress rate, that needs about £1,218 a month rent. If the rent is £1,000, the rent test caps the loan at about £174,500, around 70% of the value, however much the lender's LTV allows. The buy-to-let mortgage calculator runs your own figures, and the remortgage page shows what happens when your fix ends.
Frequently asked questions
What is the current buy-to-let mortgage rate?
The average rate on new buy-to-let loans was 4.82% in Q2 2026, according to UK Finance. On our panel at 75% LTV, the cheapest 2-year fix on total cost is 5.24% and the cheapest 5-year fix is 5.64% (as at 23 October 2026). The lowest headline rates carry big fees, so compare total cost, not just the rate.
What does buy-to-let mortgage mean?
A buy-to-let mortgage is a loan to buy or refinance a property you rent out to tenants rather than live in. The lender looks mainly at the rent the property earns, not just your income, and most are interest only.
Is it easy to get a buy-to-let mortgage?
It is straightforward if you have a deposit of 20 to 25%, the rent covers the lender's rent test and your credit is reasonable. First-time buyers, first-time landlords, HMOs and limited companies can all borrow, but from fewer lenders, so the choice of lender matters more. Every case is subject to underwriting.
What is the minimum deposit for a buy-to-let mortgage?
Usually 20 to 25% of the price. A few lenders go to 85% LTV, a 15% deposit, on selected products, and 20% deposits are available on HMOs and limited company purchases too, case by case.
How much can I borrow on a buy-to-let mortgage?
Up to 85% LTV on selected products, and 75 to 80% with most lenders, but only if the rent passes the lender's stress test: the monthly rent must cover the interest at the lender's stress rate by 125% for a limited company or basic-rate taxpayer, usually 145% for a higher-rate taxpayer. Whichever limit is lower sets the loan. Our calculator works out both.
Can a first-time landlord get a buy-to-let mortgage?
Yes. Many lenders accept first-time landlords, and some accept first-time buyers, usually with a minimum income and sometimes a lower maximum loan. Specialist property types like HMOs may need some experience, case by case.
Do I need a limited company for buy-to-let?
No, but many landlords now buy through one because of the tax treatment of mortgage interest. Company borrowers are usually tested at 125% of the interest rather than 145% for higher-rate taxpayers. Take tax advice before deciding.