Can I get a buy to let mortgage for a limited company?

By Danny O'SullivanCommercial Finance

The reason this so often asked is because so many lenders will not offer a buy to let loan to a limited company.

However, Lewis O’Sullivan, of Stirling Partners Finance Limited, explains “There are several lenders who will lend to limited companies but nowhere near as many as the number that will lend to individuals. Why is this? It’s mainly because limited companies are a separate legal entity and represent a different legal and financial risk to an individual borrower and many lenders are not set up to handle that complexity”

Lewis goes into more detail
“It is not just a question of knowing which lenders will lend to a limited company but what other rules they have. For example:
• Do they offer interest only?
• Do they lend to developers?
• Do they have a minimum experience requirement?
• Do they require a PG? (Most do by the way)
• Do they lend to companies that trade in other areas?
• Do they want a charge over other company assets?
• Do they offer different deals depending on how many properties you own?

These are just some of the variations in approach that have to be considered in addition to the normal ones such as how much can I borrow and what terms can I get? We can help you work out which lender best fits your situation if you and your accountant have decided that borrowing through a limited company is your best option.”