Are you looking to expand your property portfolio in the picturesque county of Devon? If you’re considering a buy-to-let mortgage for your Ltd company, you’re in the right place.
A buy-to-let mortgage is designed for those who want to purchase a property to rent out rather than live in.
When using a Ltd company, these mortgages operate slightly differently. Instead of borrowing as an individual, you’ll be applying through a corporate entity, which opens up unique advantages and considerations.
Why Devon?
Devon’s mix of coastal charm, vibrant towns and increasing rental demand makes it an incredibly sought-after place to invest in property. Short-term and long-term lets desired by holiday makers or home owners alike, Devon offers so many incredible opportunities.
As local mortgage experts, Mermaid Mortgages understands the nuances of the Devon property market and can help you identify the best areas for your investment. From quaint seaside cottages to modern city apartments, there’s something for every landlord in Devon.
Benefits
One of the main benefits is the ability to pay corporation tax on rental profits instead of personal income tax, which can result in significant savings.
Operating through an Ltd company protects personal assets, as liabilities are tied to the company rather than the individual.
Ltd companies also often have access to higher borrowing limits and more flexible terms, making it easier to grow your property portfolio.
How It Works
Compared to personal buy-to-let mortgages, securing a mortgage through a Ltd company differs in a few ways:
- Eligibility Criteria: Lenders assess the financial health of your Ltd company and may require directors’ guarantees.
- Interest Rates and Deposits: These mortgages typically require higher deposits (25-40%) and may come with slightly higher interest rates.
- Affordability Checks: Rental income projections are scrutinised more rigorously.
Mermaid Mortgages specialises in navigating these criteria, ensuring you find a lender suited to your needs and goals.
The Process
- Arrange a Consultation: Schedule a free chat Mermaid Mortgages to discuss your plans.
- Set Up a Ltd Company: If you haven’t already, establish a Ltd company tailored to property investment.
- Search for Property: Identify the right buy-to-let opportunities in Devon.
- Apply for a Mortgage: Submit your application, supported by your adviser’s expertise.
- Complete the Process: Finalise the deal and prepare to rent out your new property.
With Mermaid Mortgages by your side, this journey becomes seamless and stress-free.
Challenges
Investing through a Ltd company holds a few challenging factors:
- Additional Costs: You’ll need to budget for accountants and other administrative expenses.
- Restricted Options: Not all lenders offer buy-to-let mortgages for Ltd companies.
- Regulatory Changes: Government policies that change could impact landlords.
Why Work with Mermaid Mortgages in Devon?
Choosing a local mortgage adviser like Mermaid Mortgages comes with unparalleled benefits:
- Local Expertise: Deep knowledge of the Devon property market.
- Personalised Support: Tailored advice to match your investment goals.
- Comprehensive Service: Assistance from the initial consultation to final completion.
For more information about our services, visit our Our Services page.
Ltd company buy-to-let mortgages in Devon offer a smart way to build and grow a property portfolio while enjoying tax and liability benefits.
With stunning investment opportunities across the region and the expert support of Mermaid Mortgages, you’re well-positioned for success.
Ready to explore your options?
Contact us today for a free consultation and personalised advice tailored to your needs.
Your home may be repossessed if you do not keep up repayments on your mortgage.
