What Is a BTL/HMO Finance?

Buy-to-let (BTL) and HMO finance are specialist mortgage and loan products designed for landlords and property investors purchasing or refinancing rental properties. Whether you're growing a portfolio, converting a house into a multi-let, or remortgaging to release equity, this type of finance helps maximise your rental returns and long-term property value.

Buy-to-let finance is a mortgage secured against a residential property that is let out to tenants. It’s ideal for landlords purchasing single-unit rental properties or refinancing existing buy-to-let assets to secure better terms or raise capital.

HMO finance is tailored for Houses in Multiple Occupation (HMOs)—properties rented out to three or more unrelated tenants who share facilities like kitchens or bathrooms. HMO mortgages are more complex than standard BTL loans and are typically assessed on rental income potential, experience of the landlord, and property layout.

Uses for Buy-to-Let & HMO Finance

You can use BTL or HMO finance for:

• Purchasing a new rental property

• Refinancing an existing BTL or HMO mortgage

• Converting a property into an HMO

• Raising capital for refurbishment or portfolio expansion

• Switching to a lender offering more favourable rates

• Purchasing or refinancing through a limited company or SPV

Key Features & Criteria

Loan sizes: From £50,000 to £5 million+

1. Loan-to-value (LTV): Up to 80% for BTL, up to 75% for HMOs

2. Term lengths: 2 to 30 years

3. Interest rates: Fixed and variable options available

4. Repayment options: Interest-only or capital & interest

5. Rental income assessment used instead of personal income for affordability

6. Limited company / SPV BTL mortgages available

7. HMO finance available for small and large HMOs, licensed and unlicensed

How to Exit/Repay a Bridging Loan

Having a clear exit strategy is essential when applying for bridging finance. Common ways to repay a bridging loan include:

• Selling the property used as security

• Refinancing onto a residential, buy-to-let or commercial mortgage

• Using proceeds from another asset sale

• Securing long-termer development finance

• Using business income or other available funds

Who Can Apply for BTL or HMO Finance?

These finance options are available to:

• First-time and experienced landlords

• Portfolio landlords and property investors

• Limited companies and SPVs

• Self-employed and contractors

• Landlords looking to convert single lets into HMOs

Even if you’re new to property investing or have unique circumstances, there are specialist lenders who can help structure the right deal.

Benefits of Buy-to-Let & HMO Finance

• Increase rental yields by switching from single let to HMO

• Access better mortgage rates through refinancing

• Raise capital for further investments or refurbishments

• Build a portfolio using limited company structures

• Leverage property value growth to expand faster

Looking for the BTL or HMO Finance?

Whether you’re purchasing your first rental property or expanding your HMO portfolio, we help you find the best buy-to-let or HMO finance to suit your strategy. With access to high street banks and specialist lenders, we tailor funding solutions that help you grow sustainably and profitably.

Contact us today for expert advice and a free, no-obligation quote.