They work like normal mortgages but let you buy one or more properties to:
Use for your business
Rent out as an investment
Depending on your business, you could be offered quotes for interest only or repayment mortgages. Some lenders offer interest rolled up mortgages, which you make no payments on until the end of the term.
The loan is secured against the property, and you can get a loan to value of up to 75%. This means you need a deposit or equity of at least 25%. Some let you use equity in another property you own instead of a deposit.
You pay them back monthly over a term of between a month and 30 years. You could borrow between £50,000 and £40 million. If you need to borrow less, check out our business loans comparison instead.
Many brokers charge fees, but Think Business provides their service without charging you.
They give you quotes based on your individual circumstances, and they can access the whole of the UK market to find a mortgage that's right for you.
You won't pay anything until you decide to go ahead. Our broker will explain the full costs of each deal, including:
|Fees||Business mortgages come with many of the same fees as a domestic mortgage. Each lender has different charges, which can include valuation and arrangement fees. The amount could be a set fee like £500 or depend on how much you borrow.|
|Interest rate||The rates you're offered depend on how much you borrow and your company's finances.|
Each lender decides if they can accept your mortgage application based on:
Your company's income, assets and credit record
Your personal finances
If your profits are enough to meet monthly payments
If you plan to rent out the property, lenders may also look at the finances of your tenants.
Our broker will look at your business' finances to work out which lenders could offer you a mortgage.
No, unlike other mortgages, commercial mortgages are not regulated by the FCA.
You could get a commercial mortgage for:
Commercial or residential buy to let investment properties
Warehouses and factories
Shops and retail premises
Pubs and hotels
Farms and land
Professional practices (e.g. solicitors' offices)
You can get a commercial mortgage in your own name or held by a:
Limited Liability Partnership (LLP)
SPV (Special Purpose Vehicle)