HTG Mortgages Last Updated: July 2026 Buying property through a limited company can be more tax-efficient, especially if you’re a higher-rate taxpayer, but the process works differently to a standard mortgage, and most guides are written in jargon that assumes you already know the terms. We’ll walk you through exactly what you need, in plain English, and match you with lenders who understand company structures, including brand new companies with no trading history yet. HTG Mortgages is a mortgage broker. We always recommend speaking to a qualified accountant and/or tax advisor. If you are an accountant yourself, we have a page on mortgages for accountants. New company, no accounts yet? You can still qualify. It’s assessed on you, not just your company Understand SPV vs trading company, explained in plain English, not jargon Compare mortgages from over 120 lenders who specialise in limited company mortgages “I‘m not about confusing jargon or passing you from person to person. From our first chat to the day you get the keys, you’ll deal directly with me. I‘ll keep you updated, answer any burning questions, and do everything I can to make the whole process as stress-free as possible.” A limited company mortgage is a mortgage taken out in the name of a company, rather than in your own name. The company owns the property, and the mortgage is a liability of the company, not you personally, though lenders will almost always ask directors for a personal guarantee (more on that below). You’ll sometimes see this called a limited company buy-to-let mortgage, an SPV mortgage, or a BTL mortgage for a limited company, they all mean the same thing. Most people who go this route are landlords, buying rental property this way for tax reasons rather than to live in it themselves; the structure isn’t typically used for a home you intend to live in. Whether you’re buying your first home, moving, or remortgaging, it’s worth checking whether your role qualifies you for any of these offers. Some police forces even publish lists of partnered lenders, but you can also speak to a whole-of-market broker like HTG Mortgages to explore every option available to you. This is the one distinction that confuses people more than anything else, so let’s make it simple. An SPV (Special Purpose Vehicle) is a company set up to do one thing only: hold property. It doesn’t trade, sell anything, or provide a service, it just owns the buy-to-let property (or properties) and collects the rent. If you’re setting up a company specifically to buy rental property, this is almost certainly what you need. A trading company is a normal business that does something else, sells products, provides a service, and happens to also want to buy a property, either to operate from or as an investment. Why does it matter? Lenders treat these very differently. For an SPV, they look mainly at the property’s rental income and your personal circumstances as director. For a trading company, they’ll also want to understand the health of the whole business, its accounts, cash flow, and trading history, because if the business runs into trouble, that could affect the mortgage too. In short: if you’re buying to let, you almost certainly want an SPV. Yes. This is one of the most common questions we get, and the good news is you don’t need years of trading history, or even an existing company, to get started. If you’re setting up a brand-new SPV specifically to buy a property, lenders will assess the mortgage based on you, your income, credit history, and deposit, rather than the company’s track record, since a new SPV has no trading history to show in the first place. If you haven’t set up your company yet, we can point you in the right direction; it’s a straightforward process via Companies House, and your accountant can advise on the right structure before you apply. Requirements vary by lender, but as a general guide: The main appeal of a limited company structure is tax: profits are taxed at corporation tax rates rather than your personal income tax rate, and mortgage interest can typically be deducted in full as a business expense, which can be a meaningful saving if you’re a higher-rate taxpayer or building a larger portfolio. But it’s not automatically the right choice for everyone. There are extra costs to running a company, and the tax picture depends on your personal circumstances and long-term plans. We’re not accountants, so we’d always recommend a conversation with yours before committing, but we can talk you through how the mortgage side works and what it means for your options. No. If you’re setting up an SPV specifically to buy property, the mortgage is assessed on you as the director, not the company’s history, so a brand new company is fine. An SPV only holds property and is assessed mainly on rental income and your personal circumstances. A trading company also has its business accounts and performance reviewed, since the mortgage could be affected if the business struggles. I cover the lending side of the SPV route in detail on my SPV mortgages page. Typically 25%, depending on the lender and how strong your application is. Some lenders may offer higher loan-to-values for well-established companies. Almost always, yes. Lenders want assurance that if the company can’t make repayments, a director will be responsible, so your personal finances are still part of the assessment even though the company is the legal borrower. It can be, particularly for higher-rate taxpayers, since profits are taxed at corporation tax rates and mortgage interest is typically deductible in full. It’s not right for everyone though, so we’d recommend speaking to an accountant alongside us. This applies to commercial property too. See my guide to commercial buy to let mortgages for how lenders assess a business tenant differently from a residential rent. Normally at 125% of the mortgage payment rather than the 145% applied to a higher rate taxpayer buying personally, calculated at a stressed rate. That gap is why so many landlords end up looking at company structures once the personal numbers stop working. It is possible but it is a sale and repurchase, not a transfer, so stamp duty and potentially capital gains tax come into play, plus new mortgage costs on each property. It is a decision to make with an accountant on the tax side before you look at the lending side. I have broken down the full cost of doing this, stamp duty and capital gains tax included, in my guide to transferring a property into a limited company. No. Most buy to let lenders expect a newly formed special purpose vehicle and will lend to a company with no trading history, because they are assessing the property and the directors rather than the company accounts. A company with unrelated trading activity is often harder to place than a brand new one. Related: SPV mortgages and what transferring a property into a limited company really costs. Limited Company Buy-to-Let Mortgages | Plain-English Advice
Featured in The Telegraph • Daily Mail • The Times • Sky News
Meet your Advisor
Harry Goodliffe
Let’s Talk About Your Mortgage
What is a limited company mortgage?
SPV vs trading company: which one am I?
I don't have a company yet: can I still start the process?
What will I need?
Is it right for me?
Frequently Asked Questions
Written by Harry GoodliffeDirector & Mortgage Adviser, HTG Mortgages · FCA Authorised (1017945)CeMAP Qualified · Featured in National Press · South England Prestige Awards 2026/27 winner
