Remortgaging can be one of the smartest financial decisions a landlord makes — lowering monthly payments, releasing equity for future investments, or avoiding the shock of a lender’s high standard variable rate (SVR).

But many landlords get it wrong. And those mistakes can cost thousands of pounds over the life of a mortgage.

At NetRent, we’ve helped countless landlords remortgage successfully. Here are the five most common mistakes landlords make when remortgaging — and how you can avoid them.

Mistake 1: Waiting Until the Last Minute

Too many landlords leave their remortgage until their fixed rate expires. The result? They automatically switch onto their lender’s SVR, which is almost always higher — sometimes by several percentage points.

How to avoid it:
Start the remortgage process at least 6 months before your current deal ends. This gives you time to compare deals, pass affordability checks, and secure a new rate without gaps.

Mistake 2: Ignoring Fees and Hidden Costs

A low interest rate can look attractive, but arrangement fees, valuation costs, and legal charges can wipe out the savings. Some landlords end up paying more overall by chasing the “cheapest” rate on paper.

How to avoid it:
Look at the total cost of borrowing, not just the interest rate. A specialist broker can compare products side by side so you see the real impact over the term of the deal.

Mistake 3: Not Considering Rental Stress Tests

In today’s market, lenders apply strict affordability stress tests. If your rental income doesn’t meet their criteria — often 125% to 145% of mortgage payments — your application could be rejected.

How to avoid it:

• Review your rental yield before applying.

• If you’re close to the threshold, consider options such as extending the mortgage term or exploring specialist lenders who use more flexible criteria.

Mistake 4: Overlooking Limited Company Options

Many landlords still apply in their personal name without considering the tax benefits of a limited company structure. While limited company mortgages sometimes come with higher rates, the tax advantages can outweigh the difference — especially for portfolio landlords.

How to avoid it:
Speak to a mortgage adviser and an accountant before remortgaging. Together they can help you weigh up whether switching to a limited company structure could save you money in the long term.

Mistake 5: Going Direct to Your Bank

Your existing lender may not be offering the most competitive deal. By going direct, you could miss out on better rates and products available from specialist lenders.

How to avoid it:
Work with a broker who understands the buy-to-let market. At NetRent, we have access to a wide panel of lenders — including specialist providers you won’t find on the high street.

Key Takeaways

• Start your remortgage early to avoid being trapped on a high SVR.

• Always compare total costs, not just interest rates.

• Be prepared for affordability stress tests.

• Consider whether a limited company mortgage suits your situation.

• Use a specialist broker to access the widest range of deals.

Ready to Remortgage Smarter?

Avoiding these five mistakes could save you thousands and help you grow your portfolio with confidence.

At NetRent, we specialise in buy-to-let mortgages and remortgages for UK landlords. Our expert advisers will guide you through every step, compare the market on your behalf, and ensure you secure the best possible deal.

Call us today on 01352 721300