Buy property through a limited company — done properly.
Since Section 24 removed mortgage interest relief for individual landlords, thousands of London investors have moved to a limited company SPV structure. We advise on and arrange SPV buy to let mortgages across 90+ lenders — alongside a referral to a specialist property tax accountant.
What is a limited company SPV and why do landlords use one?
Here is what it actually means, why people do it, and the honest trade-offs involved.
The company owns the property, receives the rent, pays the mortgage, and retains or distributes the profit. You are a director and shareholder. The key difference from buying personally is how the profits are taxed.
Limited companies are not affected by Section 24 — they still deduct mortgage interest as a business expense, paying corporation tax (currently 19–25%) on the remaining profit. For higher rate taxpayers, this makes the SPV route significantly more tax efficient.
Company BTL rates are typically 0.2–0.5% higher than personal products. There are also accountancy fees and Companies House filings. For basic rate taxpayers the personal route can be more cost-effective. We model both scenarios side by side for your numbers.
Most SPV lenders require SIC code 68100 or 68209. If your company was set up with the wrong code, many lenders will decline outright. We check this before you apply anywhere.
What to expect from SPV mortgage lenders
SPV mortgages are assessed differently from personal buy to let applications. Here is what lenders look at — and what we prepare for you before we submit.
- Company must be incorporated at Companies House with correct SIC code
- Directors and shareholders reviewed — some lenders require minimum experience
- Personal guarantee from directors required by most lenders
- Rental income stress-tested at 125–145% ICR depending on tax status
- Rates typically 0.2–0.5% higher than personal BTL equivalents
- Portfolio landlords with 4+ properties reviewed on total portfolio basis
| Factor | Personal BTL | SPV / Ltd Company |
|---|---|---|
| Mortgage interest | 20% tax credit only | Fully deductible |
| Tax on profits | Income tax rate | Corporation tax 19–25% |
| Mortgage rates | Lower | Slightly higher |
| Admin costs | Lower | Accountancy + filings |
| Best suited for | Basic rate taxpayers | Higher rate taxpayers |
SPV lending at a glance
What we typically see in the London & Essex SPV market.
How we set up your SPV mortgage from start to finish
Free consultation — personal vs SPV modelled for your numbers
We model both structures using your actual income, tax rate, and target property to show you clearly which approach delivers better returns.
Company setup check — SIC code, directors, and shareholder structure
We review your existing company or advise on correct incorporation before any lender sees your application. Getting this wrong is the most common reason SPV applications are declined.
Tax accountant referral to confirm the analysis
We refer you to a trusted specialist property tax accountant who confirms our analysis independently. We do not provide tax advice — but we make sure you have access to someone who does.
We apply to the right SPV lender with the right paperwork
We select the most suitable lender from our panel of 90+ and compile your full application — including company documents, personal guarantees, and rental income evidence.
Portfolio support as you grow
We diary your deal end dates, advise on portfolio refinancing, and support you as you add properties to your SPV — helping you build and manage your portfolio efficiently.
SPV mortgage questions answered honestly
Most lenders require an SPV that holds only property — not one used for other trading activity. If your existing company trades in another business, you will typically need to incorporate a separate company specifically for the property.
You can, but it is a complex area involving potential Capital Gains Tax, Stamp Duty Land Tax on the transfer, and significant legal costs. This is a question for a specialist property tax accountant — we can refer you to one who advises on exactly this scenario.
Yes — almost all SPV mortgage lenders require one or more directors to provide a personal guarantee. This means that if the company defaults, the lender can pursue you personally. This is standard for company BTL lending.
Most SPV lenders require a minimum 25% deposit (75% LTV). Some specialist lenders will consider 80% LTV in certain circumstances. The rental income must also meet the lender’s interest coverage ratio requirement — typically 125% for basic rate or corporate rate taxpayers.
Is an SPV right for your portfolio?
Free consultation. No obligation. We model personal vs SPV for your exact numbers.
You might also need
Let’s work out whether an SPV is right for you
Free consultation. We model personal vs SPV for your actual numbers — no obligation, no jargon.
Request a free SPV consultation
Tell us about your situation and we will be in touch.
