Buy-to-let borrowing is becoming more concentrated in larger portfolios, with the typical landlord now holding 6.5 mortgages across two lenders and total borrowing of £714,000, according to new Pegasus Insight data.
Landlord borrowing grows more layered
The figures point to a rental sector that is increasingly dominated by experienced investors rather than small one-property landlords. Pegasus said the average landlord borrower now spreads debt across multiple products and lenders, creating a more complex refinancing picture than a simple single-loan buy-to-let model.
That matters because portfolio finance can stop looking manageable very quickly when rate changes, product expiries and cash flow decisions start landing at different times. A landlord with several mortgages may have more flexibility than a smaller investor, but they also face more moving parts when rates jump or lenders tighten criteria.
Mark Long, managing director and founder of Pegasus Insight, said many landlords now need a full view across their borrowing rather than treating each mortgage in isolation. He said financing decisions in one part of a portfolio can have knock-on effects elsewhere, especially around refinancing and cash flow timing.
Smaller landlords are leaving the market
The data also says something important about who is left in the sector. If the average borrower now has 6.5 mortgages, it reinforces the trend that smaller landlords are stepping back while more professional operators remain. Landlord Knowledge reported this week that buy-to-let remortgaging rose 18 percent in the final quarter of 2025, while purchase activity stayed much weaker. That is the pattern expected in a market where existing landlords are managing debt more actively but fewer are expanding aggressively.
This follows Landlord Knowledge’s recent coverage of lenders loosening affordability and portfolio rules, which showed some banks are trying to win more business from established landlords. Pegasus adds the missing detail: the target borrower is not a casual investor with one flat, but a landlord whose finances already span several loans and lenders.
There is a practical warning here too. More mortgages do not automatically mean more resilience. A landlord with staggered fixed-rate expiries, mixed lender terms and thin cash buffers can still be exposed if voids rise or rates move the wrong way. The growth in portfolio complexity may help explain why specialist advice has become more central to the buy-to-let market.
For landlords planning their next refinance, the primary issue is timing. Pegasus’ findings, reported by Mortgage Solutions, suggest the sector is becoming more professional, but also more dependent on careful debt management.
What this means for landlords
- If you have multiple loans: map out expiry dates now, rather than reviewing each mortgage only when it nears the end of its term.
- If you’re considering expansion: check how a new deal affects stress testing and cash flow across the rest of your portfolio.
- Watch for: lenders offering better terms for portfolio landlords, especially where affordability models are becoming more flexible.
- If you’re smaller scale: remember that larger portfolios may enjoy more options, but they also carry more refinancing risk if rates turn again.
- Bottom line: buy-to-let finance is no longer a set-and-forget exercise – it needs active management across the whole portfolio.
Editor’s view
The average of 6.5 mortgages is striking because it shows where the market’s centre of gravity has moved. Buy-to-let is increasingly a business run by portfolio landlords, and that makes debt management just as important as stock selection.
Author: Editorial Team – UK landlord & buy-to-let news, policy, and finance
Published: 16 April 2026
Sources: Pegasus Insight, Mortgage Solutions
Related reading: BTL remortgaging lifts lending 18 percent as purchase demand stays fragile
