What can the landlord do to mitigate his borrowing costs in the event of any adverse changes in interest rates? For example:
•The landlord may be locked into a fixed rate mortgage at a rate which was attractive at the time the loan was taken out. However, if market rates subsequently fall, he is paying too much – how can he take advantage of the lower rates on offer?
•The landlord may be paying a floating rate, linked to LIBOR. This is favourable in a low interest rate environment, but how can he protect himself if interest rates subsequently rise?