One in five landlords now have at least one buy-to-let mortgage on a property held within a limited company structure with the figure rising to 30% among portfolio landlords, according to new research from Foundation Home Loans.
The Q2 2025 Landlord Trends report, conducted by Pegasus Insight, reveals a continued shift toward incorporation as landlords respond to tax changes, rising compliance costs, and the need for greater financial flexibility.
The proportion of a limited company landlord’s portfolio held within a corporate structure has more than doubled over the past five years, jumping from 36% in Q1 2020 to 74% in Q2 2025.
The trend is most pronounced among portfolio landlords – those with four or more mortgaged properties – with 34% now reporting at least one property held in a limited company.
ASSETS MIX
A further 13% of all landlords own a mix of personally and company-held assets, while 7% have fully incorporated portfolios.
The data also signals a strong future trajectory for company-based investment. Among landlords planning to purchase property, nearly two-thirds (63%) intend to do so via a limited company, compared with just 29% who plan to buy in their own name.
Notably, none of the landlords who currently own property through a limited company plan to revert to personal ownership for their next purchase.
Among those refinancing, portfolio borrowers are nearly four times more likely than retail landlords to refinance into a limited company structure (30% vs. 8%). Beyond interest rates, key factors influencing lender choice include low fees, overpayment flexibility, and quality of service.
LONG-TERM FLEXIBILITY
Grant Hendry, Director of Sales at Foundation Home Loans, says: “The adoption of limited company structures by landlords continues to gather significant momentum, particularly among more experienced investors who are growing and restructuring their portfolios.
“This shift reflects both a strategic response to the tax landscape and a desire for greater long-term flexibility.
“The research underlines the growing importance of limited company buy-to-let finance and reinforces the commitment required from lenders to deliver tailored, specialist solutions that meet the evolving needs of today’s landlords.
“And whether clients are refinancing, expanding, or reshaping their portfolios, we’re here to support them with products and service designed for a more complex market.”
