More than half of landlords intend to use a limited company to buy properties in 2019, research from Precise Mortgages shows.
Of the landlords asked in a survey conducted by the specialist lender, 55 per cent replied that they would use a limited company structure to expand their portfolio versus 24 per cent who plan on buying as an individual.
In Q4 2018, the former figure stood at 44 per cent, and in the first quarter of this year, 53 per cent.
Landlords with 11 or more properties are most attracted to limited companies, with 71 per cent intending to use the status to buy more properties while for those with 10 or fewer, 51 per cent will look to use limited companies.
Precise Mortgages managing director Alan Cleary says: “Despite the challenges in the market, professional landlords have still managed to grow their portfolios over the past year with the use of limited companies, and it will continue to be the most preferred purchase route particularly for those with larger portfolios.
“The increased use of limited company status is further evidence of how the BTL market is changing and demonstrates how brokers and their clients need expert specialist support when buying as a limited company or considering switching.”