Commercial Mortgages

If you’re looking to buy property for your business to occupy, or to build your investment property portfolio, a commercial mortgage could help.

How could a commercial mortgage support me?

A commercial mortgage could help you spread the cost of moving to new business premises or expanding to multiple locations. It can also help you buy rental properties to build or expand your buy-to-let portfolio.

As a loan secured against company property, it could be more cost-effective than a business loan*. 

You can also remortgage a commercial property with us to release cash for your business or save money on an existing loan.

Buy-to-Let Limited Company Mortgage

If you’re a Limited Company who solely buys, sells or lets property, we could support you with buying or remortgaging your residential or commercial properties.

  • Mortgage terms up to 25 years
  • Up to 70% Loan to Value (LTV) ratio 
  • Fixed and variable interest rate options

Enquire about a commercial mortgage

Talk to a specialist

Talk to a specialist

For businesses with a turnover up to £3 million, call 0345 072 5555.

For businesses with a turnover between £3 million and £25 million, speak to your Relationship Manager or call 0800 022 4378.

We’re available from 9am to 5pm, Monday to Friday, except public holidays.

Why choose a commercial mortgage?

Spread the cost

Apply for a minimum of £25,001 and choose a term from 3 to 25 years to suit your business needs.

Repayment holiday options

Capital repayment holidays are available at the start of some commercial mortgages.

Flexible purpose

Support the purchase or remortgage of business-occupied premises or build your property investment portfolio.

Are you eligible?

 
  • For new and existing customers.
  • The property you want to mortgage must be for business use.
  • You’ll need to be a sole trader, partner or director with authority to borrow on behalf of your business.
  • You’ll need to be aged 18 or over.

What we’ll need to know

How much you would like to borrow.

Why you need the premises.

What term you would like to make the repayments over.

Keep in mind

 
  • Your commercial mortgage will be secured against the property you are mortgaging.
  • Your business will be charged an arrangement fee and may be charged security and valuation fees.
  • For interest only mortgages, the actual amount borrowed doesn’t reduce during the life of the mortgage. You’ll need to repay the full capital amount at the end of the mortgage term.
  • If you repay part, or all, of your fixed rate mortgage before the end of the agreed term then you may need to pay an early repayment fee. This could be substantial. This fee does not apply to bank-rate linked loans.
  • We will require a first legal charge over the property being proposed as security. This means if you’re re-mortgaging an existing property, you must repay any loan secured on it at completion.

Calculate your repayments if the Bank Rate changes

Calculate your repayments if the Bank Rate changes

If you take out a variable rate commercial mortgage, the amount of interest you pay will change if the Bank of England Bank Rate changes.  If you have a fixed-rate commercial mortgage, your rate could switch to the Bank Rate at the end of your term.

Our calculator shows you how changes to the Bank Rate could affect your monthly repayments. 

Use our calculator

FAQs

How Asset Finance can help you grow

We explain what Asset Finance is, and how you can use it to finance vehicles or equipment that can help grow your operations.

Read the guide

Cavan Bakery’s fortune’s rise with new premises

Find out how family-run Cavan Bakery has significantly expanded their operations with the support of a £1.5m funding package.

Read Cavan Bakery’s story
 

Lending appeals

The right type of funding can play a vital role in helping your business reach its potential. If your lending application is declined, we will work with the British Bankers’ Association to pursue any raised appeals.

Find out more about lending appeals

ANY PROPERTY GIVEN AS SECURITY, WHICH MAY INCLUDE YOUR HOME, MAY BE REPOSSESSED IF YOU DO NOT KEEP UP REPAYMENTS ON YOUR MORTGAGE OR OTHER DEBTS SECURED ON IT.

All lending is subject to status. Security may be required.

*Arrangement fees, security fees and valuation fees may apply when you take a commercial mortgage so you’ll need to take these into consideration when comparing it against a business loan.

All lending is subject to a satisfactory credit assessment and we will need your permission to carry out a credit check on you and your business.

You should not apply for an amount that you cannot comfortably afford to repay now and in the future to avoid the possibility of legal action.

There is always a possibility that interest rates may go down leaving a fixed rate loan at a higher level compared to a variable rate loan. However, if interest rates rise, a fixed rate loan will remain at the same rate.

Authorisation can be checked on the Financial Services Register at www.fca.org.uk under the Firm Registration Number 119278.