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Limited Company Buy to Let
If you own a limited company or are thinking of buying a property through a Limited Company and are looking to refinance or purchase a new investment property, Dan The Mortgage Man is here to help. Our limited company buy to let advisors in Chelmsford can connect you with limited company mortgage lenders, whilst we support you throughout the process from start to finish.
Why are limited company mortgages difficult to organize?
If your Limited company receives money and/or an income from any business or asset, other than your Buy-to-Let property, then this is considered a Trading Company (not an SPV) which most lenders cannot accept.
Lenders tend to prefer SPV companies as opposed to trading companies, as other income streams could introduce a higher element of risk.
The assessment criteria can vary, and the personal financial history of the director(s) will often be considered as lenders usually require the director(s) to personally guarantee the debt. Dan The Mortgage Man can discuss with you how this works.
The advantages of buying a buy to let property through a limited company
If you’re interested in limited company buy to lets, then we can help. There are certain advantages worth noting, including:
- It can be seen as more tax efficient than personal income, especially for higher rate earners
- There is limited liability. If the company was to dissolve, it will not be forced to sell other personal assets (unless guarantee’s or other security is given).
- Multiple shareholders can make it easier to management proportions of ownership and share of profits.
Please note that Dan The Mortgage Man is unable to offer advice on whether a Limited Company Buy To Let is the right choice for you. We would recommend that you seek independent tax advice on this issue. We can then discuss your options from there.
Limited company buy to let rates
This is something that Dan the Mortgage Man can discuss on a one-to-one basis to discuss how this works, but all lenders are different and offer different rates, dependent on the criteria and personal circumstances. An existing Ltd buy to let company with a good track record in managing rental properties will be looked on more favourably than a new company.
Contact Dan The Mortgage Man for the best rates, as we have access to the whole market. This means that we can find you the best buy to let mortgages for limited companies to help you save money.
How can Dan The Mortgage Man help?
We have years of experience in the financial industry and close connections with Limited Company mortgage providers. With our expert knowledge and access to a wide range of resources, we are able to provide impartial advice and help guide you through the finance options available to you.