The Buy-to-Let (BTL) market has faced extra scrutiny recently as landlords have been hit by several BTL tax changes in recent years. As tax reliefs are being cut, landlords are looking at their options, with many considering incorporation.
Luckily for them, research from moneyfacts.co.uk shows that the proportion of BTL deals available to limited companies has more than doubled in just one year.
Charlotte Nelson, finance expert at moneyfacts.co.uk, said: “It feels like the BTL market has been hit from all angles recently, and this has left landlords feeling vulnerable and wondering whether it is still worth continuing in the BTL sector. This has resulted in a shift in focus to limited companies, away from individual ownership, which is influencing not just landlords but also providers offering BTL mortgages.
“As the reality of April’s tax changes starts to bite, the proportion of deals available to limited companies has grown dramatically. With the extra pressure in the BTL market and the added interest in limited companies, it is no surprise that lenders have leapt into action and started offering more deals to limited companies.”