You can either ask your accountant or simply go to the Companies House website and set the company up yourself. The honest answer is that it is very simple and is no different to setting up any other company. Many more landlords are now purchasing rental property via an SPV limited company because it can be more tax efficient now that the changes to tax relief on finance costs for individual landlords have been phased in.Īccording to the results from our latest Buy to Let Mortgage Index (Q2 2019), 33% of all buy to let mortgages are now available to limited companies – a proportion that continues to grow.Īs you can imagine, we now frequently get asked how one goes about setting up an SPV. Why Would Investors Set Up a SPV Limited Company? Buy to let lenders offering mortgages to corporate vehicles mostly prefer SPV investments to trading limited companies because they are easier and quicker to understand and underwrite, and are perceived as being lower risk. In the mortgage world, a Special Purpose Vehicle limited company is a company which is set up just to hold property and do nothing else.
#SVP STAMP HOW TO#
Jeni explains what one is and how to get one. Income tax relief changes for buy to let landlordsīuy to let lenders who offer mortgages to limited companies usually require the limited company to be an SPV (Special Purpose Vehicle).
Property Development Finance Application Process.