Commercial mortgages, in plain terms
A commercial mortgage is a loan secured against a property used for business purposes — whether that's owner-occupied premises (like a shop, office or workshop where you operate), buy-to-let investment property, or larger commercial investment (retail parade, industrial unit, HMO). The pricing, terms, and process are quite different from a residential mortgage, and the market is far more specialised.
Rates are typically expressed as a margin over the Bank of England base rate, or over SONIA, or as a fixed rate for a period. Terms range from about 5 years to 25 years (occasionally 30). Loan-to-values are usually 65–75% for straightforward cases, sometimes higher with strong income cover. Every lender has their own quirks about property type, tenant covenant, borrower profile and geography — which is exactly why whole-of-market access matters here.
What we help clients finance
Owner-occupied premises
Buying the building your business trades from. Often more tax-efficient than paying rent, and gives you control of your premises for the long term. We help you weigh whether to hold the property personally, through your company, or in a SIPP or SSAS pension.
Buy-to-let and portfolio landlords
Whether you're buying your first buy-to-let or refinancing a portfolio of ten properties, the lender criteria are different from residential. Portfolio landlords with four or more mortgaged properties face specific rules set by the Prudential Regulation Authority (PRA) — we know which lenders handle that best.
HMOs and specialist property
Houses in multiple occupation, student lets, holiday lets, and mixed-use properties are treated very differently by different lenders. Rates and LTVs vary widely. Finding the right lender for the specific property matters more than shopping on headline rate.
Commercial investment property
Larger investment properties — retail, office, industrial — need commercial investment mortgages, usually priced on the tenant's covenant strength and the lease length as much as the property itself. This is specialist territory and we work with lenders who understand it.
Refinance and portfolio review
If your existing commercial mortgage is coming to term, or you're paying materially over the current market rate, a refinance often saves meaningful money. We regularly help clients restructure debt across multiple properties to reduce overall cost.
Commercial mortgages aren't sold on a comparison table. The right lender for your property, your business and your borrower profile isn't always the one with the lowest headline rate — but they'll typically say yes when others say no.
Working alongside your accountant and solicitor
Commercial mortgage work usually touches several professional advisers — your accountant on the tax structure, your solicitor on lease and title, and us on the financing itself. We're used to working in that team and can either coordinate with your existing advisers or introduce you to trusted local ones if you don't yet have them.
Your property may be repossessed if you do not keep up repayments on your mortgage.
The Financial Conduct Authority does not regulate some forms of buy-to-let and commercial mortgages.