Remortgaging landlords are demonstrating a restored confidence in fixed rate mortgages, new research from Landbay has indicated.

Findings published by the buy-to-let (BTL) lender showed that a majority 51% of remortgaging landlords have reported they would take a five-year fixed rate, an 11% rise compared to the proportion in April. However, this figure did stand at 46% last December.

Landbay suggested that five-year fixed rates are regaining the popularity they lost after the Liz Truss mini-Budget in September last year. Before the mini-Budget, which sparked turmoil across the mortgage market, 68% of remortgaging landlords had opted for this type of product.

By contrast, the number of remortgaging landlords opting for two-year fixes has remained the same as in April. Almost a third (32%) said they would opt for a two-year fix, although the figure reflects growing demand on last December when only 24% said they would choose this type of mortgage.

Landbay’s findings also highlighted a small rise in those choosing variable tracker rates, with 13% of landlords reporting that they would opt for a variable tracker rate mortgage, compared to 4% in April. Again, this figure was previously higher at 17% last December.

“Our survey shows a renewed appetite for five-year fixed rates, demonstrating an increased confidence in interest rate stability,” Landbay sales and distribution director, Rob Stanton.

“The increase in landlords opting for variable tracker rate products shows that some may be hedging their bets that base rates will come down sooner rather than later, while others may see these products as a temporary solution.”

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