Mortgages
Commercial Mortgage Broker: Funding for Your Business Premises
Shops, offices, warehouses, HMOs and semi commercial property. Commercial lending works on different arithmetic from a residential mortgage, and the lender list is very different too.
- Owner occupier or investment
- HMO and semi commercial
- Specialist lender access
- £0 broker fees
Free, no obligation, and no credit check to get started.
A commercial mortgage broker earns their place because this market has no high street. Pricing is negotiated case by case rather than published, and two lenders can quote very differently on the same building in the same week.
We advise business owners buying their own premises and investors buying commercial property to let.
Owner Occupier or Investment
Two different products. An owner occupier mortgage is for a business buying premises it will trade from, and lenders assess the business itself: turnover, profit, trading history and the sector. An investment mortgage is for property let to a commercial tenant, assessed mainly on the rent and the strength of the lease.
Buying your own premises usually costs less per month than renting them, and the asset belongs to you at the end. That is the case, in one sentence, for most of the owner occupier deals we place.
Deposits and Terms
Expect 25 to 40 percent deposit, with owner occupiers typically needing less than investors. Terms usually run 15 to 25 years, shorter than a residential mortgage. Rates are set case by case rather than from a rate table, so a strong, well presented application genuinely earns better pricing.
- Two to three years of accounts, or projections for a newer business
- Business bank statements, usually six to twelve months
- Details of the property and any existing lease
- A personal guarantee from the directors, in most cases
- A clear explanation of what the money is for
Semi Commercial and HMOs
A flat above a shop is a semi commercial property, and mainstream residential lenders will not touch it. The same is true of a house in multiple occupation once it passes a certain size. Both are perfectly fundable through the right lender, and both are declined instantly by the wrong one.
HMOs also bring council licensing and, in some areas, planning restrictions. Check those before you offer, not after. The rules for landlords set out the landlord obligations.
What Lenders Look At
- The business. Trading history, profitability and sector. Some sectors are harder to place than others.
- Affordability. Usually measured as how comfortably profit covers the loan payments.
- The property. Its type, condition, location and how easily it could be sold or re-let.
- The people. Directors’ experience and credit history matter more here than in residential lending.
- The deposit. Where it came from, and whether it is business or personal money.
Timescales
Longer than residential. Eight to twelve weeks from application to completion is realistic, sometimes more where a valuation is complex or a lease needs work. Starting the conversation early is worth more here than anywhere else, because the underwriting is manual rather than automated.
A Note on Regulation
Most commercial mortgages are not regulated by the Financial Conduct Authority, which means the consumer protections that apply to your home mortgage do not apply in the same way. We will say clearly which category your case falls into before you proceed. For wider business funding options, the British Business Bank publishes useful independent guidance.
No paperwork and no credit check. An adviser calls you back with your real options.
Start nowor call 0117 370 6363Frequently Asked Questions
How much deposit do I need for a commercial mortgage?
Typically 25 to 40 percent. Owner occupiers buying premises to trade from usually need less than investors buying to let.
Can I buy through a limited company?
Yes, and most commercial purchases are. Lenders will usually want personal guarantees from the directors alongside it.
Can a new business get a commercial mortgage?
It is harder but not impossible. Lenders will look for a solid business plan, realistic projections and often a larger deposit or relevant experience in the sector.
Is a semi commercial property treated as residential?
No. A flat above a shop needs a semi commercial lender, and mainstream residential lenders will decline it. The same applies to larger HMOs.
Talk through your premises purchase
Tell us about the property and the business and we will tell you honestly whether it is fundable, and roughly on what terms.
Your home may be repossessed if you do not keep up repayments on your mortgage.
Most commercial mortgages are not regulated by the Financial Conduct Authority.
Your property may be repossessed if you do not keep up repayments on your mortgage.
For mortgage and insurance we do not charge any fee as we are remunerated by commission from lenders and providers.
Infinity Financials Ltd is directly authorised and regulated by the Financial Conduct Authority, FCA registration number 993949. Infinity Mortgage is a trading style of Infinity Financials Ltd.