Why Trading Companies & SPVs?

The main benefit of using a limited company – either a trading company or a special purpose vehicle (SPV) non-trading company - to purchase and finance buy to let property relates to tax liabilities. By 2020 landlords – including those who are higher or additional rate taxpayers – will only be able to claim tax relief for mortgage interest at the basic rate of 20%.

Who is this product for?

  • Landlords who wish to purchase or remortgage a BTL property within an existing trading limited company or SPV
  • Landlords looking to transfer ownership of an existing property in to an SPV

Key Lending Criteria

  • Up to 4 individuals, all to be underwritten
  • Trading limited company considered providing registered in the UK , 2 years trading and 1 years accounts and SA302
  • If the SPV has any overseas directors or shareholders, application will be considered on an expat basis. The SPV needs to be registered in the UK
  • Rental top-up available from 115% (not available for portfolios, HMOs or MUBs)
  • No Minimum income
  • 40 year term available
  • All property types considered
  • Applicants can have historical impaired credit or life event – assessed on total combined adverse from all applicants, directors and shareholders