Ltd company BTL

[JohnsMCS]

Would it be feasible to use my existing contractor ltd company with excellent credit rating, to buy a property to rent out? Has anyone done similar?

[dirty boy]

JohnsMCS said:

Would it be feasible to use my existing contractor ltd company with excellent credit rating, to buy a property to rent out? Has anyone done similar?

Feasible, yes.........but...

Some lenders won't like that it's a trading company, some will be fine. Needs to suit your personal circumstances too, worth speaking to your advisor who'll undertand how you work, overall finances, end goal etc...

I've got a few that have done it, I've got a few that i've advised against it.

There's so much to consider, it's why I put effort into understanding my clients and their whole finances, not just a one off question....you're probably paying your accountant, now's the time to use their knowledge of your whole finances to good use, rather than the mundane annual prep work. :thumpbup:

[Mortgage_tom]

Depends on what you buying. But a lot of lender prefer a separate non trading company, an Special Purpose Vehicle (SPV).

Speak to your accountant, but your trading company can make a loan to the SPV so it has deposit funds.