Can I get a buy to let mortgage through a limited company?
Yes, and it's now one of the most popular ways to invest. Most landlords use a Special Purpose Vehicle (SPV): a company set up purely to hold property, with the right SIC codes. Lenders are very comfortable with SPVs and I arrange these mortgages every week. Whether a company is right for you depends on your tax position, so I'll always suggest you speak to a tax adviser alongside my mortgage advice.
Should I buy personally or through a company?
It depends on your income, your plans for the profits, and how big you want the portfolio to become. Higher-rate taxpayers often benefit from a company structure; basic-rate taxpayers holding one or two properties sometimes don't. I'll walk you through the mortgage side of both routes, and a tax adviser can confirm the numbers for your situation.
How much deposit do I need for a buy to let?
Typically 25% of the purchase price, though some lenders will go to 20% and the strongest rates usually sit at 40% deposit or more. HMOs, MUFBs and commercial deals can require a little more. The rental income also has to pass the lender's stress test, which is where I earn my keep.
How many properties before I'm a "portfolio landlord"?
Four or more mortgaged buy to lets. That's the regulator's definition, and it changes how lenders underwrite you. They'll want a portfolio schedule and often a business plan. I prepare both with you, so the application lands well first time.
Can I remortgage to buy another property?
Very often, yes. Releasing equity from an existing property is the most common way landlords fund their next deposit. I'll check the sums work across both properties. The new borrowing still has to pass the stress test on the existing one.
What does your advice cost?
The initial chat and my research are completely free. If you go ahead, my arrangement fee is £495, payable on completion, and I'm paid a procuration fee by the lender, which I'll always disclose.
