The proportion of landlords turning to limited company structures to manage their buy-to-let holdings is continuing to grow, according to the latest Landlord Trends report for Q2 2025 from Foundation Home Loans.
The research, carried out by Pegasus Insight, reveals that one in five landlords now has at least one buy-to-let mortgage in a limited company name. Among portfolio landlords – those with four or more properties – the figure rises to 30%.
The data points to a continuing trend towards incorporation, driven in large part by tax considerations and structural flexibility. The average share of a limited company landlord’s portfolio held within a corporate structure has more than doubled in five years, climbing from 36% in Q1 2020 to 74% in the second quarter of this year.
Portfolio landlords are leading the charge, with 34% reporting at least one property held in a company structure. While a minority of all landlords – just 7% – have fully incorporated portfolios, a further 13% report a mix of personally and corporately owned properties.
Looking ahead, limited company purchases remain the preferred route for expansion. Nearly two-thirds of landlords (63%) intending to buy additional property say they will do so through a company.
Only 29% expect to buy in their own name, while 6% remain undecided. Notably, none of the landlords who already own property in a limited company plan to revert to individual ownership for their next acquisition.
The trend is also reflected in refinancing behaviour. Portfolio landlords are significantly more likely to refinance using limited company mortgages than consumer landlords – 30% compared with just 8%.
Among those arranging limited company buy-to-let finance, the most important factors when choosing a lender – aside from rate – are low fees, flexible overpayment terms and service quality.
Grant Hendry, director of sales at Foundation Home Loans, said: “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.”
