Commercial Mortgages

Whether you're purchasing commercial premises for your business or investing in commercial property, we have the relationships and expertise to secure competitive funding from high-street banks, challenger lenders, and specialist funders.

Get Expert Advice

Property types we finance

We arrange commercial mortgages for virtually every type of commercial property. Our lender panel includes specialists in each sector, so even niche property types can be funded.

Restaurants & Cafes

Warehouses

Hotels & B&Bs

Gyms & Leisure

Retail Units

Car Garages

Offices

Industrial Units

Pubs & Bars

Medical Practices

Care Homes

Nurseries

Key information

Loan-to-value

Most commercial lenders offer 60-75% LTV. The exact percentage depends on the property type, tenant quality (for investment), business strength (for owner-occupied), and your track record. Some specialist lenders will consider higher LTVs.

Interest rates

Commercial mortgage rates start from under 4% for strong cases with lower LTVs. Rates are typically quoted as a margin above the Bank of England base rate or SONIA. We search the entire market to find the most competitive terms.

Repayment terms

Commercial mortgages typically run for 15-25 years, with deal periods of 2-5 years. Interest-only options are available for investment properties where the rental income comfortably services the debt.

Arrangement fees

Lender arrangement fees are typically 1-2% of the loan amount. These can often be added to the loan. We'll factor all costs into our comparison to ensure you're getting the best overall deal.

Owner-occupied vs. investment

Owner-occupied

You run your business from the property. Assessed on your business's profitability and ability to service the debt. Often requires business accounts for the last 2-3 years. Benefits include building equity and controlling your premises costs.

Investment

You purchase the property and let it to a tenant. Assessed on the rental income relative to the mortgage payment (typically 125-150% coverage). Tenant covenant strength is a key factor. Can provide a steady income stream and capital growth.

Frequently asked questions

What types of commercial property can be financed?

Almost any type — restaurants, warehouses, hotels, gyms, retail units, car garages, offices, industrial units, pubs, and more. We have access to lenders who specialise in each sector, so even niche property types can be funded.

How much can I borrow?

Commercial mortgage lenders typically offer 60-75% loan-to-value, though some specialist lenders can go higher for strong cases. Borrowing capacity also depends on the rental income (for investment) or business profitability (for owner-occupied properties).

Is a commercial mortgage more expensive than residential?

Generally, yes. Commercial mortgage rates are typically higher than residential rates, and arrangement fees are usually 1-2% of the loan. However, rates have become increasingly competitive, with some lenders offering rates under 4% for strong cases.

Can I get a commercial mortgage for my own business premises?

Yes. Owner-occupied commercial mortgages are assessed based on your business's profitability and ability to service the debt. This can be a more cost-effective option than renting, and you build equity in the property over time.

Need a commercial mortgage?

Tell us about your project and we'll source the best funding options for your situation.

Book a Free Consultation

Or call us: 0115 967 0888