LLP Partner

How much can an LLP borrow? Is there a cap on this? How much deposit is needed?

A lender will be quite bespoke in how they underwrite this type of mortgage. A typical guide is that you could borrow 4.5 to five times your share of that LLP profit. That’s the case as of now in June 2025 – but it could change.

I’d recommend a conversation with a broker about your specific circumstances, because other things could be considered.

In terms of deposit, it largely mirrors the general mortgage market. We’re seeing lots of lenders with 5% and 10% deposit options, which is always a healthy sign. If lenders sense trouble ahead, they often restrict those lower deposit mortgages.

As always, the bigger the deposit, the better the mortgage rates you’re going to get. Having a 10% deposit is a good position to explore the options.

Can an LLP with company debt apply for a mortgage? What happens if I have bad credit as an LLP partner?

An LLP with debt can influence a lender’s assessment, but it doesn’t necessarily mean that it’s impossible to obtain a mortgage.

It’s a bit like personal debt, and when applying for any kind of mortgage, a lender looks at your outgoings on credit cards, loans, overdraft facilities, etc. These are all forms of debt in their eyes.

When it comes to an LLP, they might look at the commitments that structure holds. But an LLP holding a level of debt won’t necessarily preclude you from getting a mortgage. It could make a difference to the decision, so a conversation with an advisor will be really helpful.

With regards to the adverse credit, a lender will look at it but it won’t necessarily stop you getting a mortgage. We’ve recorded specific episodes on adverse credit and I would encourage anybody to listen to those as they go quite deep into the detail.

But as a general rule, if you have got adverse credit, it’s likely to reduce the number of mortgage lender options you have. Depending on the severity of that adverse credit, that number could shrink even further.

If you have adverse credit, please don’t think you’ll never get a mortgage. The best thing to do is have a conversation with an advisor. If you’re part of an LLP, that’s quite niche, and you also have some adverse credit history – those two factors combined mean an advisor will need to find a lender to tick both boxes. But have the conversation with us and we can generally find a solution.

Can I get a Buy to Let mortgage as an LLP?

In recent years successive governments have seen landlords as a good source of tax income, and accountants have been briefing their clients on routes to potentially improve their tax position.

This is a well-trodden path if you listen to a lot of our episodes. But when it comes to a Buy to Let mortgage, you need to be mindful of your tax position.

Being involved in an LLP in conjunction with a Buy to Let mortgage makes it important to talk to a well-qualified property tax specialist or tax accountant, because the two go hand in hand.

An LLP is eligible for a Buy to Let mortgage, but there may be exceptions – that’s where a tax advisor and accountant come in. Lenders may prioritise LLPs when it comes to Buy to Let if the structure clearly supports a property portfolio. If that company exists almost entirely for the purpose of owning and letting property, that really helps.

Please go and get some tax advice alongside the mortgage advice – we can work together on that front.

How does remortgaging work as an LLP?

The main difference here comes in the documentation. The documentation I listed earlier to support a purchase application will also be required at the point of remortgage.

It comes back to being prepared. I would always recommend talking to your advisor six, seven, or potentially even eight months out from the end of your mortgage deal – with all of that documentation available.

We need this evidence because we’ll be looking at the options available with your existing lender, but also potentially looking at the wider market. We’ll consider what’s out there if we were to move from lender X to lender Y – and whether it’s worth making that jump.

When you do make that jump, Lender Y needs all that same documentation – so it needs to be as up-to-date as possible.

Everything else with a remortgage is the same. It’s just proof of ID, bank statements, etc. It’s just that the potential income proof as part of an LLP is generally a bit bigger.

Can I get a mortgage as an LLP if I have bad credit?

There are specialist lenders in this space, and over the past few years more providers have entered this market. There’s more competition, which is a really good thing for a consumer.

Some lenders have designed their criteria around complex situations. If you’ve got a blip on the credit file here and there, it does generally involve potentially a higher interest rate, and the fees might outstrip what you would ordinarily pay.

So it’s a niche area, where the trade-off is that lenders may charge you a little more for the privilege. Don’t be disheartened – just be prepared for rates to be a little higher than if there were no adverse credit in the background.

How can a mortgage broker help here? Is there anything else you’d like to add?

If you are part of an LLP and that’s how you evidence your income, you’re in a specialist area. A broker is worth their weight in gold here, because we’re able to distill that information and show you the options. We explain the evidence you might need for each specific lender, what the deal means to you and the timescales involved.

Having somebody to pull all that together with advice is a huge time saver. Even just Googling for the statistics around LLPs, it’s a minefield.

Looking for a mortgage in that space is just incredibly complex. An advisor can cut through all of that noise and show you only the lenders, rates and products that are a potential option for you.

YOUR HOME MAY BE REPOSSESSED IF YOU DO NOT KEEP UP WITH YOUR MORTGAGE REPAYMENTS.

THE FINANCIAL CONDUCT AUTHORITY DOES NOT REGULATE MOST BUY TO LET MORTGAGES.