Adrian Moloney | 21.10.2020
With the potential access to larger loans, and benefits for higher-rate tax payers, limited company loans may seem like an appealing prospect for landlords – especially those that are looking to diversify and expand their property portfolios.
At Kent Reliance for Intermediaries, not only do we offer the same rates for limited companies as private buy to let landlords, but our dedicated panel of approved solicitors can provide both sole and dual representation on your client’s cases should it be required. We can also now accept intercompany loans.
But what exactly can we offer? How can our broader limited company criteria support your cases?
Here are the six reasons why you should consider choosing Kent Reliance for Intermediaries for your next limited company case.
Not only do we accept up to four directors per application, but other companies can also be considered as shareholders– the purpose of this being to allow money to move within the group. These companies can be holding or trading business.
Unlike other lenders, we don’t have strict SIC code requirements. The three main SIC codes for limited companies, which can be found on Companies House1, are listed below.
Although we accept all three of the above SIC codes, these are not essential, and we’ll happily consider a case without any of the above – that is providing that the application is for a SPV and not a fully trading business, and that we see the logic of a relevant SIC code being used for managing a property.
We won’t place any floating charges or debentures against any limited company application. This is good news for your clients, and provides them with additional certainty and assurance when taking out a loan with us.
As long as an application is for a special purpose vehicle (SPV) or a limited liability partnership (LLP) we’ll be able to consider the loan. This is regardless of whether the company is brand new or not.
Specialist lenders like us that offer mortgages to limited companies usually require the properties to be held within a SPV, and must be for the purpose of holding a property (or properties).
Accepting up to 75% LTV on loans as high as £3m, shareholder deposits and director loans are both considered to be acceptable sources of deposit.
Along with offering individual assessments of every case, coupled with manual underwriting and a common-sense approach to lending, the flexibility and experience Kent Reliance for Intermediaries has with this style of complex lending could be the gateway to solving your next limited company case.
We can now accept intercompany loans (subject to criteria), which could create more opportunity for your clients wishing to grow their portfolios.
In case these six reasons aren’t compelling enough, we’ve also simplified our portfolio submission form and now require only one month’s bank statement showing rental income and mortgage payments.
Whether your clients are looking to restructure their portfolios or they’re simply interested in limited company lending, call our broker liaison team on 01634 835 791 and they’ll be happy to help.
Or for a more detailed discussion on how we can support your limited company, speak to your senior business development manager. Their support and expertise could help support your clients and give them the assurance they need.
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