Three quarters of all new buy-to-let purchases are via limited companies - but which buy-to-let mortgage lenders are best?

New figures released by Hamptons show that 66,587 new buy-to-let companies were incorporated in 2025 in the UK, an 8% rise on the previous year, bringing the total number of limited companies holding rental property to over 440,000.

Limited company ownership now accounts for around 75-80% of all new buy-to-let purchases, reflecting a clear shift in how landlords structure property investments.

This trend has been building over the last decade, following tax changes that removed mortgage interest relief for individuals, making the corporate structure increasingly attractive for landlords with larger portfolios.

Aaron Strutt, product director at Trinity Financial, says: "Our brokers have been arranging more limited company buy-to-let mortgages over the last few years as landlords look to restructure their finances. The government tax changes have forced many of them to act. Many lenders are now keen to offer limited company buy-to-let mortgages. 

"TSB has launched portfolio buy-to-let lending for landlords with up to 10 mortgaged properties. Landlords will be able to borrow up to 75% of the property value, with a minimum loan of £25,000 and a maximum loan of £1 million. Landlords will be able to have up to five buy-to-let mortgages with TSB, and the initiative is open to landlords for both house purchase and remortgage applications."

Why landlords are choosing limited companies

One of the biggest drivers for this shift is tax treatment:

• Corporation tax (typically between 19%–25%) applies to profits for a company — instead of higher income tax rates for individuals, which can be 40–45% or more for higher-earning landlords.

• Within a company, mortgage interest and other property expenses can usually be deducted before calculating taxable profits — unlike unrestricted relief for individuals.

These tax differences can result in significantly lower tax liabilities, especially for landlords earning rental profits alongside a salary or with high-value portfolios. However, it is important to speak with an accountant to ensure that taking out a limited company buy-to-let makes sense and is tax-efficient for you. 

Pros and cons of setting up a Limited Company for Buy-to-Let

Pros:

• Tax advantages — Corporation tax can be lower than income tax for high-earning landlords, and interest relief is more flexible.
• Professional structure — Operating through a company can simplify accounting, succession planning, and liability management.
• Estate planning benefits — Shares can be passed on more easily than individual properties in some cases.
• Growing market adoption — With more landlords using this structure, lenders and professionals are increasingly familiar with it.

Cons:

• Stamp Duty Costs — Transferring existing personally owned properties into a company can trigger additional Stamp Duty charges.
• Mortgage interest rates — There are fewer lenders and products for limited company buy-to-let, and rates can be higher than standard buy-to-let mortgages.
• Costs and compliance — Setting up and running a company brings accountancy fees, Companies House filing costs and compliance responsibilities.
• Tax not completely avoided — You still pay tax, just under a different regime — corporation tax and eventual taxation on withdrawal of profits.

Ownership structure

Hamptons says 42% of the 66,587 companies created in 2015 had more than one shareholder. This is up from 34% in 2016, suggesting that limited companies are increasingly providing a vehicle for co‑investment.

While 31% of these companies have their headquarters in London, their portfolios span far beyond the capital. In fact, 51% of purchases made by London-based companies are located outside the capital. 

London-based companies now own more property titles in the East of England, South East, North West and North East than all other companies investing there from outside the region.

Should landlords speak to an accountant or tax adviser?

Yes. A move to a company structure is not universally right for everyone. An experienced accountant or tax specialist can help you:

• Model your rental income, profits, and tax liabilities under both personal and company structures.

• Assess Stamp Duty and Capital Gains Tax implications of transferring properties.

• Advise on corporate governance, compliance, and long-term planning.

These decisions are highly individual — what works for one landlord won’t necessarily suit another.

What lenders offer Limited Company Buy-to-Let Mortgages?

While not every high-street lender provides limited company products, several lenders and specialist providers do support this structure for landlords — from those with one property to large portfolios. 

Trinity Financial's brokers have access to 40+ lenders in the limited company buy-to-let market, often with competitive LTVs and decision times.

Limited company buy-to-let via high street and specialist lenders	General acceptance rules
Barclays for Intermediaries	Offers limited company buy-to-let mortgages with up to 75% Loan-to-Value (LTV). The majority shareholder must have a minimum personal income of £25,000 per year. Fixed interest rates available for up to 10 years.
The Mortgage Works (Nationwide Group)	Has dedicated products for limited companies, including portfolio deals for experienced landlords. Products available up to 80% LTV. Buy-to-let products have a maximum loan of £2,000,000. Maximum loan amounts will depend on the application.
Accord Mortgages	Provides mortgage options for UK limited companies and SPVs (Special Purpose Vehicles). For experienced landlords, the minimum income (not from rental properties) is £40,000 for single and joint applicants. Maximum Group buy-to-let exposure to an individual is £1,000,000 for a first-time landlord and £3,000,000 for an experienced landlord. Maximum total exposure - no limit to the total number of properties (max. 10 with mortgages).
Specialist and Portfolio-Focused Lenders
Aldermore Bank	Specialises in buy-to-let lending for limited company landlords, including large portfolios up to multi-million-pound values. Lends to both Special Purpose Vehicles and Trading Companies. Also lends on HMOs and multi-unit freehold portfolios up to a maximum of £10m. No set exposure limits on blocks of flats or background portfolio limits, and landlords can hold a portfolio up to £5m with the bank.
West One for Intermediaries	Provides buy-to-let mortgages for both individual and company borrowers. Limited Companies and LLPs are acceptable provided they are simple SPVs that have been established in England and Wales for the purpose of the investment and management of property. More complex SPVs may be considered on a referral basis, where an org chart can be provided to clearly illustrate the structure and identify the Ultimate Beneficial Owners(s) (UBOs). In these instances, the maximum number of acceptable Directors/Shareholders is four. Directors do not have to be shareholders.
Metro Bank for Intermediaries	Limited company products with up to 80% LTV and portfolio acceptance criteria. Portfolio landlord accepted – maximum of 10 properties with Metro Bank (under £10m aggregated debt), maximum of 10 properties in total. Maximum age 85 (mortgage term based on the oldest applicant). A limited Company must be non-trading and must be limited to solely holding residential property and not engage in wider activities (must be an SPV). Acceptable SIC codes (no other SIC codes are accepted individually or in conjunction): 68100 - Buying and selling of own real estate. 68209 - Letting and operating of own or leased real estate. 68320 – Management of real estate.

Note: Availability, criteria, and rates vary widely; most limited company products still require a significant deposit (often 25% or more) and rigorous rental coverage checks.

Is switching to a limited company buy-to-let a good idea?

Setting up a limited company for buy-to-let can be an excellent strategy for:

• Higher-rate taxpayers

• Experienced landlords with multiple properties

• Investors planning long-term portfolio growth and succession planning

However, for smaller landlords or those early in their journey, the costs and complexities may outweigh the benefits — especially if you plan to hold property for a short period or are in a basic tax bracket.

Speaking with a tax adviser and mortgage broker before making any changes is essential to ensure the decision aligns with your investment goals and financial circumstances.

Source: Hamptons and lender websites

Lending solutions with Trinity Financial

Are you looking to buy a property and require expert advice? We’re here to help you find a solution – no matter how complex your circumstances. Our expert brokers have extensive experience providing creative solutions to secure mortgages for our clients.

Call Trinity Financial on 020 7016 0790 to secure a buy-to-let limited company fixed or tracker rate mortgage, book a consultation or use our appointment calendar

The information contained within was correct at the time of publication but is subject to change.

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