The Mortgage Works (TMW) Limited Company / SPV buy-to-let mortgages

Limited company and Special Purpose Vehicle (SPV) buy-to-let lending has traditionally been the domain of specialist lenders. However, product availability can shift as more lenders enter the market.

On 29 June 2018, The Mortgage Works (TMW)—the buy-to-let arm of Nationwide Building Society—introduced Limited Company / SPV mortgage products. For landlords using a company structure, this development can be significant because it may broaden the range of lenders and product approaches available.

What TMW launched for Limited Company / SPV landlords

TMW’s Limited Company / SPV offering is aimed at buy-to-let lending where the borrower is a company (or SPV) rather than an individual.

The range includes products for:

• Standard buy-to-let
• Houses in Multiple Occupation (HMO)

Note: Product availability, pricing and product codes can change over time. Always check the latest lender criteria and product details.

Key features (headline points)

The following points summarise the headline features described for TMW’s Limited Company / SPV buy-to-let products:

• Rental coverage requirements
  • 125% rental coverage at the pay rate on standard buy-to-let purchase
  • 170% rental coverage at the pay rate on HMO
• Valuation
  • Free valuation
• Arrangement fee options
  • A fixed £1,995 arrangement fee option (described as potentially better value for larger loans)
  • A nil arrangement fee option (described as potentially better value for smaller loans)
• Loan-to-value (LTV)
  • Up to 80% LTV
• Security structure
  • No requirement for a floating charge
• Purpose
  • Available on a purchase and remortgage basis

Product types covered: purchase and remortgage

For Limited Company / SPV landlords, a practical consideration is whether the lender supports both:

• Buying a property into the company/SPV, and/or
• Remortgaging an existing property already held within the same structure

TMW’s stated availability covers both purchase and remortgage.

HMO considerations for SPV lending

HMO lending can be more demanding than standard buy-to-let because underwriting typically focuses on both the property’s rental profile and the operational risk associated with multiple occupants.

In TMW’s Limited Company / SPV range, the headline difference is the higher rental coverage requirement for HMO:

• 170% rental coverage at the pay rate (HMO)

This means landlords considering an HMO within an SPV structure should expect the rental assumptions used in affordability calculations to be more stringent.

Why lender entry matters for LTD/SPV landlords

When a mainstream buy-to-let lender introduces Limited Company / SPV products, it can change the options available to landlords who previously had to rely on a narrower set of specialist providers.

In practice, this can affect:

• Product variety (for example, fixed vs nil arrangement fee approaches)
• LTV and rental coverage expectations
• Whether certain security requirements are needed (for example, the absence of a floating charge)

Important notes for landlords

• Product terms can change. Lender criteria, pricing and availability may vary over time.
• Company/SPV lending is not the same as personal buy-to-let. Underwriting often focuses on the structure of the borrower and the property’s rental performance.
• Legal and tax considerations are separate. Limited company and SPV arrangements can have legal and taxation implications, so it’s generally important to speak with a qualified solicitor or accountant for advice in those areas.

How to interpret the TMW features when comparing options

When comparing Limited Company / SPV mortgage products, it’s useful to look beyond headline rates and focus on the elements that typically drive total cost and feasibility:

• Rental coverage (standard vs HMO)
• LTV limits
• Arrangement fee structure (fixed fee vs nil fee)
• Valuation approach
• Security requirements (for example, whether a floating charge is required)
• Whether the product supports purchase, remortgage, or both

By aligning these features with the property type and the SPV/LTD structure, landlords can better understand which products are likely to fit their circumstances.