Landbay has launch a range of buy-to-let products for landlords who want to use their business to purchase property.

While it has become commonplace for landlords to set up companies specifically for the purpose of buying properties, borrowers who want to use their existing businesses to do so have struggled to find willing lenders.

The new range from Landbay allows business owners of any kind, from dentists to mortgage brokers, to buy or remortgage property through their company.

Ordinarily Landbay says that most buy-to-let companies are set up as special purpose vehicles.

Lenders typically require that these firms are listed at Companies House with a code indicating they specialise in property.

Landbay is now able to lend to companies that do not specialise in property, for the purchase or remortgage of standard properties, houses in multiple occupation and multi-unit blocks.

In addition, Landbay has increased maximum loan-to-values HMOs and MUFBs of up to12 bedrooms or units.

It will now lend up to 75 per cent LTV, an increase from 70 per cent previously.

Furthermore, there is now no limit on the number of floors a property can have. 

Landbay managing director for intermediaries Paul Brett says: “As one of the few lenders catering for trading limited companies, brokers now have more choice when advising company directors, who do not specialise in property. 

“If small companies have surplus profits, buying property to let can be a tax efficient investment.

“Our appetite for lending has been boosted by our new £1bn funding source over five years from our new friends and partners, Allica Bank, which we announced last week.”