Limited Company Buy-to-Let Mortgages
Buying or refinancing rental property through a limited company or SPV? We help organise the lending application around the company, property, rent and directors.
Buy-to-let, structured through your company.
Some landlords hold property in a limited company, often a special purpose vehicle (SPV), for tax-planning and portfolio reasons. We support purchase and remortgage applications for single lets, HMOs, multi-unit blocks and portfolios. Tax and ownership decisions should be taken with an accountant or tax adviser.
- SPV purchases & remortgages
- Portfolio landlords
- HMOs & multi-unit blocks
- First-time landlords
- Top-slicing considered
- Capital raising
How limited-company buy-to-let works.
With a limited-company buy-to-let mortgage, the company is the borrower rather than the individual. Whether that structure is appropriate is a question for your accountant and legal adviser.
Why landlords use a company
Holding rental property in a limited company changes the tax, accounting and administration involved. The appropriate structure depends on your circumstances, so take advice from your accountant or tax adviser before deciding. We can then help explore finance routes for the chosen structure.
SPV vs trading company
Some lenders focus on SPVs set up only to hold property. Trading companies may be considered by a different lender group, so the company activity and accounts need to be presented clearly.
Stress testing and top-slicing
Company buy-to-let is rent-stress-tested. Some lenders may also consider other income, but the approach varies and should not be assumed before the full case has been reviewed.
Personal guarantees
Personal guarantees are commonly requested from company directors. The exact terms and implications must be checked in the lender's offer and with the borrower's legal adviser.
The company, the property and the people behind it.
A useful first enquiry explains how the property will be held, the rent it produces and the borrowing required. We can then identify the information needed for further assessment.
- Company: the registered name and number, its activities, and whether it is newly formed or already trading.
- Directors and owners: who is involved, their shareholdings and property experience, and any relevant borrowing or credit issues.
- Property: the address, value or purchase price, rent and tenancy arrangements. For HMOs and multi-unit buildings, explain the layout and any applicable licensing position.
- Funding: the amount required, the source of the deposit or equity, existing borrowing and the purpose of the transaction.
- Portfolio: a summary of other properties, rents and mortgages if the company or directors already own investment property.
New SPVs, rental assessment and guarantees
A new company does not remove the need to assess its directors and the property. Lender requirements vary, including the company activities they accept, how they assess rental income and whether personal guarantees are needed.
Use the buy-to-let calculator to explore the relationship between rent, borrowing and an assumed interest rate. Its result is an illustration, not a lender's affordability decision.
Take advice from your accountant and legal adviser before choosing or changing an ownership structure. UK Mortgage Finance deals only in unregulated property finance for investment and commercial purposes; we do not handle consumer buy-to-let.
If you or a family member will live in any part of the property, tell us at the start, as it may fall outside the finance we arrange.
Discuss a company buy-to-let requirementSelected client case studies
This genuine, anonymised transaction was handled by a member of our team through UK Mortgage Finance or during their wider property-finance career.
Limited-company buy-to-let Seven-HMO company share purchase £1,912,500Agreement in principle
The transaction
The case involved a company share purchase where the company owned seven HMO properties. The portfolio value was £2.5m and the share purchase price was £2.25m.
The lender's assessment
The lender assessed the proposal using the underlying property value rather than relying solely on the share purchase price.
The agreement in principle
A £1,912,500 loan was agreed in principle at 6.79% at the time. The agreed-in-principle amount represented 85% of the £2.25m purchase price and 76.5% of the stated £2.5m property value.
Broker: Ben Jones
Status: Agreement in principle only, not a completion. Agreements in principle remain subject to individual circumstances, valuation, underwriting, legal checks and lender criteria.
These case studies are anonymised genuine transactions. Figures and rates shown were applicable at the time and do not represent current pricing or a guarantee of future lending. Every application remains subject to individual circumstances, valuation, underwriting, legal checks and lender criteria.
Common questions.
Some landlords use a company for tax, accounting or portfolio-planning reasons. Whether it is appropriate depends on your circumstances and needs advice from your accountant. We can help explore mortgage routes after the structure is chosen.
Some lenders consider newly formed SPVs and first-time landlords. Availability depends on the full application, property and lender criteria.
The amount depends on the property value, rent, company and directors, as well as the lender's current criteria. We can review the figures without assuming a fixed maximum.
Many lenders request one from the directors. Check the precise wording and implications with your legal adviser before accepting an offer.
We can review limited-company applications involving HMOs, multi-unit blocks and portfolios. Availability depends on the property, licence or tenancy position, experience and lender criteria.