Updated October 2026 · Fraser Bond
Investing · Company BTL
Limited company buy-to-let
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In short: Many landlords now buy through a limited company (usually a special purpose vehicle) because companies can deduct mortgage interest in full and pay corporation tax on profits, whereas individual landlords only get a 20% tax credit on interest. Company mortgages often have slightly higher rates and fees, lenders require directors' personal guarantees, and taking money out of the company as dividends or salary is taxed again. Moving existing properties into a company usually triggers CGT and Stamp Duty. It suits higher-rate taxpayers building a portfolio; take tax advice.
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Is a company always better?
No, it depends on your tax position and plans.
Can I move my properties in?
Usually with CGT and SDLT costs.
