Figures show that on the purpose for new buy-to-let remortgages almost £1.1bn was raised across 6,737 cases.

This represents an increase of 54% in monetary terms and a 45% increase in the number of loans when compared to the same period in 2024.

The first half of 2024 saw equity valuing £712 million used for property improvement in 4,632 remortgage cases.

The latest figures for the first half of 2025 is the highest level of remortgage-funded property improvement by landlords since the first half of 2022 when 8,032 remortgages released £1.28bn in equity.

This was 93% higher by value and 74% by volume compared to the corresponding period a year later when the total amount of equity withdrawn dropped to £662 million across 4,605 remortgage cases.

The figures align with research undertaken for Paragon’s Improving standards and sustainability in privately rented properties report which illustrates how landlords have driven substantial growth in the proportion of privately rented homes classed as decent.

A significant proportion of landlords, 44%, adopt a strategy of acquiring homes in need of improvement. In addition, landlords spend approximately £8,500 a year, across their portfolios, making improvements.

Paragon Bank director of mortgages Louisa Sedgewick says: “As we near the three-year anniversary of the mini budget, we can look back at how it has influenced landlord behaviour in the time since.”

“This data shows how it had a very real impact on the market, curtailing investment in improving privately rented homes.”

“But it’s encouraging to see this recover over the past couple of years and approach the levels recorded before market turmoil.”

“This reaffirms the resilience of the market and shows that landlords will take advantage of a comparatively favourable borrowing environment to enhance their propositions, leveraging equity to make improvements to their properties.”