For landlords operating through a limited company structure, finding the right mortgage lender can be a challenge. The BM Solutions limited company landlord mortgage offers a competitive and reliable option for UK property investors seeking buy-to-let finance in 2025. As part of the Lloyds Banking Group, BM Solutions is a trusted name in the mortgage market, known for its specialist lending for landlords and brokers alike. Whether you’re expanding your portfolio or looking to remortgage, understanding how BM Solutions supports limited company landlords is key to making informed decisions.
What is a BM Solutions limited company landlord mortgage?
A BM Solutions limited company landlord mortgage is a buy-to-let mortgage product designed specifically for landlords who own or purchase property via a limited company. This structure is increasingly popular among UK landlords due to potential tax efficiencies and portfolio flexibility. BM Solutions, the intermediary-only arm of Birmingham Midshires, provides tailored mortgage products for these company structures, offering fixed and tracker rate options. These mortgages are available only through mortgage brokers and are not offered directly to the public. BM Solutions assesses applications based on rental income, property type, and the financial standing of the limited company, rather than personal income. This makes it a strong choice for professional landlords looking to grow their portfolios in 2025. For more information on their offerings, see our guide to the Birmingham Midshires mortgage.
Can I switch to a BM Solutions product if I already have a limited company mortgage?
Yes, if you already have a BM Solutions limited company mortgage, you may be eligible for a BM Solutions product transfer. This allows you to switch to a new rate with BM Solutions without going through a full remortgage process. Product transfers can help you avoid early repayment charges and legal fees associated with remortgaging to a new lender. However, transfers are only available to existing customers nearing the end of their current deal. Your mortgage broker can guide you through the process and help you select the most suitable rate for your company’s needs. It’s a straightforward way to maintain your relationship with BM Solutions while benefiting from competitive rates in 2025.
What are the eligibility criteria for a BM Solutions limited company mortgage?
To qualify for a BM Solutions limited company landlord mortgage, your company must be a Special Purpose Vehicle (SPV) registered with Companies House. The SPV should fall under specific SIC codes related to property letting and management (e.g., 68209). BM Solutions typically requires directors to provide personal guarantees, and they will assess the rental income of the property to ensure it meets their affordability criteria. The property must also meet certain standards, such as being lettable and in good condition. BM Solutions does not lend on HMOs (houses in multiple occupation) or holiday lets. As always, working with an experienced mortgage broker is essential to ensure your application meets all requirements and is submitted correctly.
How does BM Solutions assess affordability for limited company landlords?
BM Solutions uses a rental income-based affordability model for limited company buy-to-let mortgages. This means they assess whether the expected rental income from the property is sufficient to cover the mortgage payments, using a stress-tested interest rate. For limited companies, BM Solutions typically requires a minimum rental coverage ratio of 125% at a stress rate of 5.5%, although this may vary depending on the product and term. Personal income is not usually considered unless the application is more complex. This approach aligns with industry standards and ensures that landlords are not over-leveraged. If you’re considering switching rates, explore your options with a BM Solutions product transfer.
Can I remortgage my property to BM Solutions under a limited company?
Yes, BM Solutions accepts remortgage applications from limited company landlords. If you currently have a buy-to-let mortgage with another lender, you may be able to remortgage to BM Solutions to take advantage of better rates or release equity. The process involves assessing your company’s structure, rental income, and the property’s value. BM Solutions offers competitive remortgage products, often with free valuations and legal services, depending on the deal. If you’re considering this route, speak to a broker who can help you compare options and guide you through the application process. You can also learn more about your options on our Birmingham Midshires remortgage page.
Are there any drawbacks to using a limited company for buy-to-let mortgages?
While there are tax advantages to using a limited company for buy-to-let investments, there are also some considerations. Mortgage rates for limited company landlords are often slightly higher than for individual borrowers. Additionally, the application process can be more complex, requiring company accounts, director guarantees, and specific SIC codes. BM Solutions only accepts SPVs, so trading companies or those with multiple business activities may not qualify. There may also be additional legal and accounting costs associated with managing a limited company. However, for many landlords, the long-term tax benefits and portfolio flexibility outweigh these drawbacks. A qualified mortgage broker can help you weigh up the pros and cons based on your individual circumstances.
Is BM Solutions a good choice for portfolio landlords in 2025?
Absolutely. BM Solutions remains a top choice for portfolio landlords in 2025 due to its competitive rates, strong service levels, and specialist approach to buy-to-let lending. The lender supports limited company structures and offers a range of fixed and tracker rate products. While BM Solutions does not offer direct customer service, its broker-only model ensures landlords receive expert advice tailored to their needs. With straightforward criteria and a focus on rental income, BM Solutions is well-suited to experienced landlords managing multiple properties. If you’re looking to expand or refinance your portfolio, consider speaking to a broker about a Birmingham Midshires mortgage or remortgage option.
In summary, the BM Solutions limited company landlord mortgage is a strong contender for UK landlords looking to finance or refinance their buy-to-let properties in 2025. With competitive rates, a focus on rental income, and support for SPV structures, BM Solutions continues to be a trusted name in the market. To explore your options further, browse our guides on Birmingham Midshires mortgage products, BM Solutions product transfers, and Birmingham Midshires remortgage solutions.
