Expat BTL via Limited Company (SPV)
Buying UK buy-to-let property through a limited company Special Purpose Vehicle (SPV) is now the dominant structure for new investment purchases - for expats as much as UK residents.
About Expat BTL via Limited Company (SPV)
Since the 2017 changes to mortgage interest relief, higher-rate taxpayers save significant tax by holding property in a company. As an overseas director of a UK limited company, specific lender criteria apply - we identify exactly which lenders are currently active for expat-directed SPVs.
The options we compare
What is an SPV?
A Special Purpose Vehicle is a UK limited company incorporated specifically to hold property. The company takes out the mortgage, owns the property, and collects the rent. You own shares in the company. The company pays corporation tax on profits - and can deduct mortgage interest in full, unlike individual landlords since 2020.
Tax Advantage for Expats
For higher-rate taxpayers living abroad - many expat professionals earn above the higher-rate threshold - holding UK BTL in a company means the mortgage interest deduction at corporation tax rates (19-25%) rather than being restricted as a personal landlord. The cumulative saving on a portfolio can be significant.
Expat Director - Lender Position
Lenders assess the overseas director as the person behind the company. Your personal income, creditworthiness, and country of residence all matter - even though the loan is to the company. A director guarantee from an overseas director is standard. Some lenders specifically accept expat-directed UK SPVs; others decline regardless of the company's UK incorporation.
Which SIC Codes Are Accepted
SPV companies are typically incorporated with SIC code 68100 (buying and selling of own real estate) or 68209 (other letting and operating of own or leased real estate). Lenders usually only lend to companies with these specific property-holding SIC codes, not to trading companies.
The SDLT Position for SPV Purchases
SDLT on a company purchase includes the standard residential rates plus the 5% additional dwelling surcharge. The non-resident surcharge (2%) may apply depending on the company's control structure. We calculate the full SDLT position for the specific company and purchase before application.
Company Formation and Account Opening
If you do not already have a UK SPV, we advise on the most appropriate company structure and can introduce you to UK accountants and solicitors experienced in setting up expat-owned property companies. The company needs a UK bank account - some banks accept overseas directors more readily than others.
How We Help
Company and tax review
We review the existing company structure (if any) or advise on setting one up. We recommend taking tax advice from a UK accountant with expat experience before structuring the purchase - the tax position is the primary reason for using a company.
Lender identification
We identify which specialist lenders currently accept expat-directed UK SPVs. This is a subset of the overall expat BTL market - not all expat lenders accept company applications from overseas directors.
Application - company and personal
The company application requires company documents (certificate of incorporation, memorandum and articles, companies house filing), plus personal documentation from you as director-guarantor. We manage both.
Completion
Company mortgage completes. The property is registered in the company name. Rental income flows into the company account. We coordinate with your UK accountant throughout.
Speak to our international mortgage specialists
Call 0204 6211776 · Whole-of-market access · All expat locations · FCA No. 814533
Frequently asked questions
Is a limited company BTL always better than personal for expats?
Not always. A limited company is typically better for higher-rate taxpayers who want to hold the property long-term and reinvest rental income within the company. It is less attractive for basic-rate taxpayers, for those who want to use rental income personally (requiring a salary or dividend from the company, with its own tax implications), or for those with a short investment horizon (company sale vs personal sale has different CGT treatment). Tax advice from a UK accountant is essential before deciding.
Do expat lenders charge more for limited company BTL?
Limited company BTL products typically carry a slightly higher interest rate than personal-name BTL (typically 0.1-0.3% higher). This is standard across the market and is not specific to expat cases. The mortgage interest tax deduction advantage usually more than offsets the small rate premium for higher-rate taxpayers.
Can I use an existing limited company or do I need a new SPV?
Lenders typically require a company incorporated specifically for property holding - using an existing trading company for a BTL mortgage is usually declined. However, if you already have a dormant or property-holding company with the right SIC code, this may be acceptable. We review the existing company structure before recommending whether to use it or set up a new SPV.
How does an overseas director guarantee work?
The lender requires you, as overseas director, to provide a personal guarantee - meaning you are personally liable for the company's mortgage debt if the company defaults. This is standard for all limited company BTL mortgages. The guarantee is not affected by your overseas residence - it is enforceable against your worldwide assets.
Which lenders currently accept expat-directed UK SPVs?
We maintain current knowledge of which specialist lenders are active in this space. The list changes. As of 2026, a number of specialist expat lenders and some challenger lenders accept UK SPVs with overseas directors - but this is a subset of the broader expat BTL market. We identify the right lender for your specific country of residence and company structure.