Revisit, remortgage and save money

Thursday, 29th June, 2017

It’s funny. Everyone is always looking for a deal (myself included) and yet sometimes, even when the deal is right in front of him or her, they just can’t see it.

What’s even more ironic is that people can expend huge amounts of energy collecting loyalty points here and ‘50p off your next box of tea bags’ vouchers there, all the while missing out on the most important deal – and one that could save them hundreds of pounds each month.

The deal I’m referring to in this case is the often-overlooked remortgage.

As a Guildford mortgage broker I can honestly say that I don’t think I’ve seen as many instances where there is such a gulf between the mortgage our clients signed up for (call it point A) and the mortgage that they could have now, even with the same lender (call it point B).

Naturally, it is the Complete Mortgages team’s job to make our clients aware of how they could save money on a mortgage – or, to put it another way, how much they are overpaying on a mortgage. And that’s what we’re in the process of doing right now, much to our clients’ delight.

However, for many people – namely those who either don’t use a mortgage broker or don’t have a proactive mortgage broker, they might never know.

Whilst there’s lots to be said for the proverb ‘ignorance is bliss’, or ‘what you don’t know can’t hurt you’, I’m pretty sure that people would rather have the opportunity to change mortgage – or at least be alerted to the prospect of changing their mortgage – and that’s the purpose of this article.

If you’re one of those people who applied for a mortgage two or three years ago, when deals were great and seemed as though they couldn’t get any better, then this is for you.

Essentially, mortgage deals have got better and you could quite easily be saving hundreds of pounds each month as a result.

In some cases you could simply switch your mortgage to a different deal on offer through the same lender. Not only can we handle ALL the paperwork and application process on your behalf, but also our service is completely FREE for you.

Our usual fee is £399 however in the case of a simple mortgage switch with your existing lender, we wouldn’t charge you a penny.

Even in cases where a fee may be chargeable, the process of remortgaging could still work out financially beneficial for you in the long run.

Our advice is to contact a trusted mortgage broker to explore your options and discover how easy it is to save money on your mortgage. You may or may not want to use Complete Mortgages – or even a mortgage broker in general – but at least you can’t say that we never told you.

Are you looking to remortgage? Interested in finding out of you could save money on your mortgage by making a simple change to your current mortgage? If so, contact us on 01483 238280 or email info@complete-mortgages.co.uk. Remember, we’re also specialists in buy to let mortgages, adverse credit mortgages, limited company buy to let mortgages and first time buyer mortgages.

By Mark Finnegan, Director at Complete Mortgages


Robo-mortgage advisers… whatever next?

Thursday, 8th June, 2017

Now, before reading any further I should point out that, like most people, I too use a series of apps to help make my life that little bit easier. From monitoring how active I am to listening to music, apps are now an essential part of my everyday life.

However, on reading a piece in the Telegraph recently with the headline ‘New app promises to sort your mortgage by iPhone as home buying goes digital’*, I have to say that I experienced the first pang of ‘app cynicism’ I’ve felt since I began using them.

Not because, as a mortgage broker, I felt in any way threatened by the advent of digitised mortgage applications, but because my first thought was that some things should genuinely be left alone. Applying for a mortgage, in the context of apps, is one of those things.

Admittedly, claims of being able to complete a mortgage in 15 minutes or begin the mortgage – or remortgaging – process through a mobile app sounds fantastic. However, having been a Guildford mortgage broker for almost two decades, I know that the reality of carrying out a successful mortgage application relies less on software and more on relationships and a personal touch.

Buying a house is, for the majority of people, the biggest financial decision that they will ever make. Now, relying on software to order your coffee so that it’s served to coincide with your arrival, count how many steps you’ve taken in any given day, or alert you when it’s time to drink more water is one thing. But do you really want to place one of life’s larger purchases in the hands of a faceless app?

Not only that but who do you contact when things go wrong or don’t go quite according to plan?

The mortgage application process can be complicated, resource intensive and is often affected by a number of variables and external organisations. Whilst it’s okay to seek a simplified one-button solution to some of the more mundane aspects of modern life, a one-button solution to mortgage applications is, in my view, a false economy.

In fact, let’s compare it now. Complete Mortgages typically spends 15 – 20 minutes to carry out a factfind, which is similar to what some ‘robo-advisers’ claim to take, and from that point onwards everything is handled personally by a dedicated account handler who is able to fast-track the process, carry out those sometimes-sensitive chase up calls with the lender or provide feedback to the estate agent from which the mortgage applicant originated.

We’re proud, for instance, of our high customer service ratings as showcased on our website – all of which are the direct result of real actions of real people, who not only help people secure mortgages day in, day out, but who also do so after having built a strong rapport with the customer.

Yes, there are many services and experiences that have improved through automation, however these are typically services and experiences that are black and white, that have a simple beginning and end point, and that aren’t always reliant on multiple processes in order to reach a successful conclusion. Getting a mortgage isn’t one of them.

That said, I wish those who have launched – or are in the process of launching – automated mortgage apps the very best and I will watch with interest.

In the meantime, I must go. I’m being told that I have a meeting and that I need to purchase a gift online in the next five minutes to make tomorrow’s post – all by my apps, of course.

If you need to apply for a mortgage and would like to speak to a real person, then contact Complete Mortgages on 01483 238280 or email info@complete-mortgages.co.uk. We specialise in first time buyer mortgages, commercial mortgages, buy to let mortgages, adverse credit mortgages – and providing first-class customer service. 

By Mark Finnegan, Director at Complete Mortgages

*http://www.telegraph.co.uk/business/2017/04/18/new-app-promises-sort-mortgage-iphone-home-buying-goes-digital


Guildford mortgage lending is on the up… but so are its property prices

Thursday, 1st June, 2017
Guildford mortgage

Let’s start with the universally good news – mortgage lending to homebuyers increased by 27% in March.

The figures, as released by the Council of Mortgage Lenders (CML), suggests that even first time buyer mortgages were on the up across the UK, with 31,500 loans granted in March 2017 compared with 28,100 in March 2016.

As a Guildford mortgage broker, Complete Mortgages’ March was particularly busy; so busy in fact that it bucked the national trend by being a staggering 82% up on March 2016.

As a local mortgage broker this is, of course, good news. However, it’s also good news because it highlights that the Guildford mortgage market continues to move apace and suggests that we can expect this trend to continue as we head into summer (a period when home moving and home buying activity typically tends to slow down).

On the flipside, there is the issue of Guildford’s rapidly increasing property prices. And whilst this isn’t bad news for those who already own a home, it is unlikely to be met with positivity by those itching to get their feet on the property ladder.

Research by online estate agents House Simple has shown that outside of London, the UK’s least affordable areas include Bath, Brighton, Crawley, Tunbridge Wells and, of course, Guildford. In fact, less than 7% of Guildford properties are priced lower than the national average.

So, what does this tell us? Well, it confirms what we already know; Guildford is an expensive and desirable place to live. It’s also likely to be met with concern by first time buyers whose chances of buying a property in Guildford are arguably much slimmer than this month’s national averages from the CML would suggest.

However, what Guildford first time buyers must remember is that there are hugely competitive first time buyer mortgage deals entering the market all the time. And with 85% loan to value mortgages on 4.5 x earnings now available, the Guildford first time buyer is now able to enter the market without having to rely solely on putting down an astronomical deposit.

Are you a first time buyer? If so, then our advice is to contact the Complete Mortgages team, which specialises in first time buyer mortgages, to discuss how we can help move you towards homeownership.

Just remember that as Guildford property prices increase, the relative value of your deposit decreases, so taking action sooner rather than later is advised before homeownership really does become out of reach.

Contact Complete Mortgages on 01483 238280 or email info@complete-mortgages.co.uk to discuss our services, from first time buyer mortgages and commercial mortgages to buy to let mortgages and limited company buy to let mortgages.

By Mark Finnegan, Director at Complete Mortgages


How adverse credit mortgages are helping first time buyers

Monday, 22nd May, 2017
Adverse credit mortgages

For those of you that keep up to date with Complete Mortgages’ articles, news and views, you’ll know that we have been proactive in ‘rebranding’ the adverse credit mortgage or, as it was more widely known, the sub prime mortgage.

Importantly, this is not because Complete Mortgages is an irresponsible Guildford mortgage broker. Nor is it because we refuse to accept its role in the 2007/8 financial crisis (unregulated sub prime mortgage lending was undeniably an instrumental factor).

Our reason for supporting the new wave of adverse mortgage lending is twofold. Firstly, lending of this nature no longer represents the sub prime lending of pre-2008, as you can read here. Secondly, it is increasingly becoming a way in which young first time buyers can successfully apply for a mortgage and therefore access the property ladder.

Around this time last year a TransUnion survey revealed that millennials are highly likely to have a bad credit or subprime credit rating, which limits their access to loans and, of course, mortgages. A recent article in the Telegraph also supports this by including ONS figures that suggest that almost 100,000 millennials who live with their parents believe that they will never move out.

This is a particularly disheartening scenario and one that, in many cases, stems from high student loans and the rising cost of living. Unfortunately, this can often lead to overdependence on credit, which, if not managed, can result in a bad credit rating.

The cycle is clear. The question now is how do we break it, or at least how do we help young first time buyers shortcut it? And that’s where the new wave of adverse credit mortgage comes into play.

Thankfully, first time buyers are now able to access up to 85% loan to value mortgages at 4.5 times their income with non-high street lenders.

Of course – and as pointed out in a previous Complete Mortgages article on sub-prime mortgages – there needs to be evidence that those applying for an adverse credit mortgage can make the required repayments. Likewise, applicants will need to apply for a mortgage in the knowledge that they will be paying more for the privilege.

However, when faced with living with your parents well into your thirties, a situation that is only compounded (and arguably prolonged) by escalating house prices, the modern day sub prime mortgage could prove to be a helpful springboard for many young people.

Regardless of situation and credit score, I would recommend those who think an adverse credit mortgage could be a viable route for them to get in touch with me or a member of the Complete Mortgages team to discuss their options.

To speak with a credit repair mortgage specialist contact Mark Lucas on 01483 238280 or email lucas@complete-mortgages.co.uk. Complete Mortgages also specialises in commercial mortgages, buy to let mortgages and limited company but to let mortgages.

By Mark Lucas, credit repair mortgage specialist at Complete Mortgages


Guildford mortgage broker scoops two national awards and grows firm by 39%

Friday, 24th March, 2017
mark finnegan

Guildford mortgage brokerage, Complete Mortgages, is banishing Brexit fears and quelling any talk of economic uncertainty after receiving two national awards and delivering 39% growth in the last 12 months.

The Railton Road-based firm collected the Top Mortgage Adviser and Top Network Adviser awards at this year’s Mortgage Intelligence Awards, which took place at Ascot Racecourse on Thursday 9 March, beating 400 advisers from around the UK to pole position.

It is the sixth consecutive year that Complete Mortgages has won a national award at the Mortgage Intelligence Annual Conference.

The double award win comes as the firm reveals that it secured mortgages for the Surrey community worth almost £140 million and expanded its team to 12 people – up from 3 people when it joined the Mortgage Intelligence Network in 2009.

On receiving the awards, Complete Mortgages’ founding director and Guildford resident, Mark Finnegan, comments: “The last twelve months have been hugely important for Complete Mortgages. We’ve grown faster than any other year in our eleven-year history and we’re continuing to draw some of the most experienced and talented brokers from across the UK, all of whom are attracted by our growing national reputation. We’re delighted to once again be recognised for delivering a first-class service and remain committed to making Guildford a southeast England hub of excellence when it comes to financial services and mortgage products.”

Kenton Cool, the world-renowned mountaineer responsible for leading Sir Ranulph Fiennes up Everest in 2008 and 2009, presented the awards to Mark at a ceremony that welcomed almost 350 people.

Dorset-based Mortgage Intelligence is a mortgage and insurance network and club, which aims to help brokers achieve more by providing tailored solutions, support and training. It has been supporting the mortgage and insurance brokerage industry for over 20 years.

On Complete Mortgages’ success, Sally Laker, Managing Director at Mortgage Intelligence, adds: “It’s no coincidence these awards are presented to Mark and his team during a period of rapid growth. Complete Mortgages’ professionalism, customer service and dedication to delivering high service standards is not only positive for the clients it serves, but also the mortgage brokerage industry as a whole. We’re delighted to have Complete Mortgages in our network and commend the firm on its excellent work.”

For more information visit www.complete-mortgages.co.uk or contact 01483 238280.

Ends

Image caption: Mark Finnegan collects the Top Adviser Award from UK mountaineer Kenton Cool at the 2017 Mortgage Intelligence Awards.

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Beat the spring rush and use winter to get ‘mortgage-ready’

Tuesday, 7th February, 2017
mortgage ready

After a wet, dreary and (more often than not) cold British winter, the onset of spring is always a welcome relief.

Not only because with it comes the sunshine and a reminder that summer is only around the corner, but it’s also a time when people start to consider their options when it comes to moving home and getting a mortgage.

Let’s face it, applying for a mortgage mid-winter, for most people, isn’t the most alluring prospect.

However, as a result of keeping big decisions to a minimum during the colder months, there is often a rush of people in March, all of whom want to apply for a mortgage at the last minute.

Not only does this bottleneck put pressure on lenders, but it also puts pressure on those applying for a mortgage, too.

The good news is that as a Guildford mortgage broker with a large – and growing – team of advisers on hand to handle mortgage applications on your behalf, we can take that pressure off and make securing a mortgage a seamless process.

Of course, since June last year we are constantly presented with the recurring questions of ‘what about Brexit?’ and ‘how will Brexit affect my mortgage?’

Despite a degree of uncertainty surrounding Brexit, recent figures from the Council of Mortgage Lenders estimates that gross mortgage lending hit the £20.4 billion mark in December. Whilst this was 4% lower than November, it was also 4% higher than December 2015.

Equally, hugely competitive deals from lenders that began to make an appearance throughout 2016 and are now continuing into 2017 will mean that, for many, applying for a mortgage whilst the option of potentially saving money in the long-term is still there will make the opportunity of getting a good mortgage deal hard to resist.

Whilst some homeowners may be more inclined to wait until there is more clarity around the impact of Brexit – something that we at Complete Mortgages believe will take longer than one or two seasons – Spring is always a time of increased activity when it comes to the property market and mortgage applications. As a result, starting the process earlier will give you that extra advantage.

Regardless of the nature of the application – from residential mortgages and buy to let mortgages, to sub prime mortgages and limited company buy to let mortgages – we will handle 100% of the paperwork on your behalf, proactively chase your application and keep you updated at every step of the process.

So, there really is no need to wait until spring. Our advice is to get the ball rolling by picking up the phone and discussing your options with us sooner rather than later.

Even if you do decide to wait until spring has finally sprung, we can part complete your mortgage application in advance so that you will be ahead of the game when you do make your decision – whether that’s in spring or even summer.

Either way, use winter while it’s still here and ensure that you’re ‘mortgage-ready’ in advance.

Contact a member of the Complete Mortgages team on 01483 238280 or email info@complete-mortgages.co.uk.

By Mark Finnegan, Director at Complete Mortgages


Complete Mortgages expands team with new mortgage adviser

Friday, 16th December, 2016
Mark Finnegan

Complete Mortgages will kick-start the New Year by welcoming a new mortgage adviser to the team in a move that signals how 2017 is expected to be a busy year for the property and mortgage markets.

Darren Wordsworth, a former HSBC employee who, in his five years with the bank, worked across multiple teams and experienced handling mortgage applications at every stage of the process, joins the Guildford mortgage broker after living in Barcelona for the last six years, during which time he owned a successful estate agency.

Prior to emigrating to Spain Darren carved a successful career as an independent mortgage broker in Scarborough following a period at Scarborough Building Society, where he was a full-time mortgage adviser.

On joining the Complete Mortgages team in the New Year Darren comments: “With a plethora of experience working at every stage of the mortgage application process, I plan to bring a 360-degree approach to Complete Mortgages whereby I can help expedite mortgage applications by having an end-to-end understanding of the framework. Having worked in property, both as an estate agent and a developer, I have first-hand personal experience of managing mortgage applications on both sides of the fence. I look forward to working with the team and contributing to the company’s plans for continued growth.”

Darren, who lives in Godalming, has two children and can be found coaching the under 7s Farncombe Youth FC at weekends. He can be contacted via darren@complete-mortgages.co.uk or by calling 01483 238280 from January.

Mark Finnegan, Director at Complete Mortgages, adds: “We’re delighted to welcome Darren to Complete Mortgages and his knowledge, coupled with his experience of dealing with a wide variety of mortgages, make him a valuable addition to the team. It’s an exciting time for the mortgage market; competitive deals are in abundance and we anticipate 2017, the first quarter in particular, being exceptionally busy as people take advantage of the New Year mind-set and either look to move home or remortgage. We’re looking forward to the year ahead, proud to be continually growing as a business and pleased that Darren is now part of our team.”

For more information or to arrange a mortgage with Complete Mortgages contact 01483 238280 or email info@complete-mortgages.co.uk.


The Help to Buy scheme is over… but it’s not the end for first time buyer mortgages

Thursday, 13th October, 2016
first time buyer

As the saying goes, ‘nothing lasts forever’. Government priorities have a habit of changing (as do Prime Ministers) and with that comes changes in policy.

And it would appear that this is what has happened following the news that the once lauded and very popular Help to Buy Scheme is to come to an end in December. The good news, however, is that it’s only the Mortgage Guarantee element of the scheme that is scheduled to end; its other components including Shared Ownership, Equity Loan and Help to Buy: ISA, remain available.

The Mortgage Guarantee element of the scheme, which has enabled lenders to purchase a guarantee on mortgage loans and, as a result, offer homebuyers – first time buyers in particular – high loan to value (LTV) mortgages of between 80 – 95%, has made homeownership accessible to those with limited access to a deposit. In fact, according to figures*, since the scheme’s launch in January 2014 it has been behind over a staggering 89,000 mortgages.

The question now, however, is whether or not high LTV mortgages are over and, along with it, the chance of homeownership for those who, without the scheme, may have struggled to secure such a highly geared mortgage.

The answer remains unclear and there is much speculation. Many are of the view that as we enter 2017, high LTV mortgage products will diminish. Others believe that even without the government’s support, the first time buyer market is buoyant and can withstand the removal of what many regard as a crutch.

For those who have earmarked the New Year as a time to put their deposit to good use, then here are three things to remember:

1. Lenders need first-time buyers (or those who require a high LTV mortgage which, given how growth in property values has eclipsed growth in wages, is a huge proportion of the population).

2. Whilst the Help to Buy Scheme has undoubtedly been incredibly helpful, the 95% mortgage was already making a post-recession comeback even before the scheme was launched, and therefore it isn’t necessarily the panacea that some have come to believe.

3. 95% mortgages aren’t exclusive to Help to Buy. Put another way, even during the scheme’s lifetime those applying for a mortgage could still access 95% mortgages without going down the Help to Buy route.

As a Guildford mortgage broker that has been getting a 95% mortgage for many of our clients, we feel relatively at ease by the confirmation of the Help to Buy Scheme’s closure. Why? Because as a mortgage broker, with access to a comprehensive panel of mortgage products, we know that there is a plethora of options available that match a huge demographic of people.

For the general public securing a mortgage is often perceived as a binary process; it’s either black or white, yes or no. For a mortgage broker acting on their behalf there are many shades of grey in-between and it’s our job to explore, unpick and navigate them in a way that secures the right mortgage deal for them.

So, whether you’re a first time buyer or someone who was relying on the Help to Buy Scheme to get on the property ladder, don’t rule out homeownership just yet.

Contact the Complete Mortgages team on 01483 238280 or email info@complete-mortgages.co.uk to find out how you can still secure a high loan to value mortgage – and why the end of the Help to Buy Scheme doesn’t spell the end of your homeownership dreams.

*www.financialreporter.co.uk

By Mark Finnegan, Director at Complete Mortgages


Getting a mortgage before Christmas

Friday, 23rd September, 2016

As far as annual milestones go, we’ve just passed one of the big ones.

The beginning of a new school year not only signifies the end of summer, but it also marks the dawning of winter (Halloween is already beginning to dominate shop shelves) and the lead in to Christmas.

From a property perspective, people often tackle a new home move in line with a new season, something that property marketers will often take the opportunity to maximise, with calls to action such as ‘move in time for summer’ or ‘get in before spring’.

When it comes to Christmas, the sense of urgency is only stronger as homeowners want to be in a position to celebrate the festive season and entertain friends and family in their new property.

And now the children are back at school, the starting gun has been fired and the countdown to the festive season has begun. So, what does that mean for those who are thinking of applying for a mortgage this side of 2016?

The good news is that if your heart is set on moving into a new property in time for Christmas then it’s not too late to apply for a mortgage.  At the time of writing there’s approximately two and a half months until the big day. And let’s not forget that we’ve only just hit autumn – a period, which, according to HomeOwners Alliance*, is a great time to sell a property given how the holiday season is over.

However, there are a few things to consider as the homeowner’s champion also states that people need to be ready to move quickly in autumn, as the market tends to slow down once October arrives. On that basis, this leaves two weeks to get the ball rolling if you are serious about a pre-Christmas move.

Whether that’s securing a mortgage in principle to ensure that you’re at the front of the queue when it comes to accessing the funds, or using a mortgage broker in order for them to complete as much paperwork in advance of an offer being accepted on a property, there are ways in which time invested now will mean time saved later on.

If you’re self employed then another point to consider, and one that we covered here, is that lenders ideally want to see that you’ve submitted your accounts within 3-6 months of the end of the previous tax year. So, in keeping with getting as much out of the way as possible now – and bearing in mind that 6 October marks six months from the end of the last tax year – we would recommend that if you haven’t submitted your tax returns yet, then do so within the next couple of weeks.

As a Guildford mortgage broker that specialises in a wide range of products including self-employed mortgages, we have partnered with a number of Guildford estate agents – and estate agents in Surrey – which means that we have high visibility of our clients’ property purchasing process from beginning to end. The result of this means that we can give them a helpful push to expedite the process when required, which is useful when time is not on your side.

And for those who aren’t based in Guildford or Surrey and who won’t be using our local property partners, then all you need to do is contact us on 01483 238280 or email info@complete-mortgages.co.uk to find out how Complete Mortgages can get you as prepared as possible and help you get moved in by Christmas.

From first-time buyer mortgages and commercial mortgages to individual buy to let mortgages and limited company buy to let mortgages, Complete Mortgages provides a complete service when it comes to getting a mortgage.

*http://hoa.org.uk/advice/guides-for-homeowners/i-am-selling/when-is-the-best-time-to-sell-my-house/

By Mark Finnegan, Director at Complete Mortgages


Could limited company buy to lets be the landlord’s saviour?

Friday, 16th September, 2016
buy to let

The viability of the buy to let property market as an investment, particularly for those with large mortgages, has been compromised since the government introduced new tax rules, the details of which can be viewed here.

And yet demand for property in the UK remains high, with demand to make money on property seemingly higher. So, now that margins are being squeezed on individual buy to let arrangements, what’s the alternative?

The answer is, in the main, simpler than you might think and means that not only could you become a landlord in a much more efficient – not to mention profitable – way, but also a business owner, too.

Limited company buy to let mortgages

As a Guildford mortgage broker, Complete Mortgages has seen a high number of buy to let landlords in the South East of England with high loan to value mortgages reconsider their options since the new tax legislation was announced.

One of those options – and one that is becoming increasingly popular – is using a special purpose vehicle (SPV) or, quite simply, starting or building a buy to let property portfolio by purchasing properties through a limited company.

Of course, like most things in life, there are pros and cons so in order to try and explain the basics, here is a quick guide to the good and the bad bits associated with business buy to lets. However, it’s important to point out that given how everybody’s circumstances differ, it’s essential that you consult an accountant before making any decision.

The pros

Pay less tax on buy to let properties

For reasons laid out here, tax payable on individual buy to let property revenue is getting higher. However, this new structure doesn’t affect buy to lets through a limited company.

Tax-free dividends on buy to let properties

At the start of the 2016/17 tax year the government made a number of changes, one of which is that you no longer have to pay tax on the first £5,000 of your dividend income – regardless of how much non-divided income you earn. For example, let’s say you earn £40,000 a year, through PAYE, for company A. You then set up your own company called Business Buy to Lets limited and purchase a property, which yields £5,000 in rental income a year. Not only is that £5,000 tax free, but it means that you can…

…Reinvest your profits without any tax liability

Now that you’ve earned £5,000 without incurring any tax liability, you can do what you like with it. You may wish to reinvest it in the property or even put it towards a deposit on another property – something that would have taken you a lot longer to save for if you had purchased the property as an individual, as that £5,000 would have been diminished by tax.

The Cons

Say goodbye to Capital Gains Tax relief

As an individual buy to let landlord, you receive £11,100 tax relief when you sell your property. With properties purchased by a limited company, there is no Capital Gains Tax relief.

Companies cost money

There is administration involved in running a company. Even if you only generate an income of £5,000 per year and there are only a few transactions to account for, you will need to keep accounts, file returns and manage the corporation tax and personal tax elements of running a limited company. The cost will vary from accountant to accountant, however it’s an essential component of owning a limited company, unavoidable and required by law.

Limited company buy to let mortgages have higher rates

Unlike individual buy to let mortgage rates, which have dramatically dropped over recent months to keep the buy to let market buoyant, business buy to let mortgage rates are higher.

Perhaps the biggest drawback for those looking to apply for a limited company buy to let mortgage is the fact that the range of options decreases. Some lenders don’t even offer mortgages to limited companies.

Before you do anything…

… and irrespective of the broker you use, you must seek advice from an accountant before making any decision – even the decision to form a company (or SPV).

However, as an award-winning mortgage brokerage Complete Mortgages has access to a comprehensive panel of lenders and a range of limited company buy to let deals to suit everyone. We can give you guidance on all mortgage-related aspects of becoming a business-owning, portfolio-building landlord including the:

  • Standard Industrial Classification (SIC) your company needs to carry in order to secure a mortgage
  • Roles and responsibilities that you – as a director – have when it comes to your mortgage

Contact the Complete Mortgages team on 01483 238280 or email info@complete-mortgages.co.uk to find out more about becoming a limited company buy to let landlord.

By Mark Finnegan, Director at Complete Mortgages