Residential Buy-to-let Mortgage
If you would like to grow your capital and rental income, then our Residential Buy-to-let Mortgage could suit you. Property can be a big cost for many businesses so it is important to manage that investment wisely.
Our Residential Buy-to-let Mortgage is suitable for any individual or business that derives its main source of income from the sector and owns property let for residential occupation, multiple occupation and student lets.
Features and benefits
- Mortgages start from £25,001.
- Choose a mortgage term from three to 25 years.
- Borrow up to 70% of the property value and in some cases we can lend more.
- Bank of England Bank Rate linked and fixed rates available.
- A capital repayment holiday may be available for up to 12 months (to be taken at the start of the loan).
- Repayments on a fixed rate residential buy-to-let mortgage remain the same even if the bank rate rises or falls.1
- If you repay part or all of your fixed rate mortgage before the end of the agreed term there may be a breakage cost2.
If you wish to borrow on other terms we may still be able to help you. Tell us about your plans and needs, we will then agree the interest rate with you.
You also need to know that:
- An arrangement fee, security and valuation charges will apply.
- For interest only, the actual amount borrowed doesn't reduce during the life of the mortgage so you need to repay the full capital amount at the end of the mortgage term.
- We will require a first legal charge over the property as security. This means if you are remortgaging an existing property, any loan secured on it must normally be repaid before completion.
To apply for this mortgage, you must:
- require the mortgage for business use
- be a sole trader, partner or director with authority to borrow on behalf of your business
- be aged 18 or over.
One of our business management team will be happy to speak with you about your application. However, before you get in touch, please make sure you’ve prepared answers to the following:
- How much would you like to borrow?
- Why do you need these new premises?
- What length of loan term do you expect?
ANY PROPERTY GIVEN AS SECURITY, WHICH MAY INCLUDE YOUR HOME, MAY BE REPOSSESSED IF YOU DO NOT KEEP UP REPAYMENTS ON YOUR MORTGAGE OR OTHER DEBTS SECURED ON IT.
Overdrafts are repayable on demand.
All lending is subject to a satisfactory credit assessment and we will need your permission to carry out a credit check on you and your business.
You should not apply for an amount that you cannot comfortably afford to repay now and in the future to avoid the possibility of legal action.
1 There is always a possibility that interest rates may go down leaving a fixed rate loan at a higher level compared to a variable rate loan. However, if interest rates rise, a fixed rate loan will remain at the same rate.
2 Break costs may apply upon full/partial early repayment of the loan. These will be calculated based upon the loan rate compared to market rates at the time of repayment. These may be substantial.
Important legal information
Lloyds Bank plc. Registered office: 25 Gresham Street, London EC2V 7HN. Registered in England and Wales No. 2065. Lloyds Bank plc is authorised by the Prudential Regulation Authority and regulated by the Financial Conduct Authority and the Prudential Regulation Authority under registration number 119278. Telephone: 020 7626 1500
Calls may be monitored or recorded in case we need to check we have carried out your instructions correctly and to help improve our quality of service.
Eligible deposits with us are protected by the Financial Services Compensation Scheme (FSCS). We are covered by the Financial Ombudsman Service (FOS). Please note that due to FSCS and FOS eligibility criteria not all business customers will be covered.