BRIDGING LOAN FINANCE
BUY TO LET LIMITED COMPANY MORTGAGES
CONVEYANCING SOLICITORS
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Streamline your finances and legal needs
What we do
We do not operate on a simply transactional basis; we forge long-lasting, understanding relationships with our clients, so that they know they can always come to us for reliable comprehensive financial advice tailor-made with their needs at the heart.
Integrated Legal & Financial services
Finance & Legal Solutions
Bridging Finance
Residential Mortgages
Purchasing a property in a Limited Company
How can our one-stop shop help you?
A successful mortgage or bridging loan relies on the coordination of your mortgage application, your tax strategy and conveyancing; without this cooperation, there may be an imbalance between these three essential components which could cause delays and mistakes. That’s what makes our integrated service so effective- by working under the same roof, our team can work closely with Starck Uberoi Solicitors to make sure your transaction is completed quickly and easily.
Solicitors
Mortgage advice
Our mortgage brokers will find you the best mortgages for each of your properties, with recommendations from the whole of the mortgage market. We’ll even help you with the application process and meeting your lender’s requirements.
Tax mitigation
Our Specialist Property Team
Sam Thomas
Managing director of Starck Uberoi Wealth
Sam is the CEO and presiding broker of Starck Uberoi Wealth. Sam specialises in buy to let mortgages, particularly focusing on strategies for property investors with larger portfolios. His experience and expertise enable him to recommend the best mortgage options from across the whole of the market, whether the client is an individual or a large investment company.
Raminder Singh Uberoi
Managing director of Starck Uberoi Solicitors
Raminder is a qualified solicitor, Notary Public and head of the property department at Starck Uberoi Solicitors, with over 15 years’ experience in conveyancing. Starck Uberoi Solicitors provide expert legal advice and services shaped by this experience, even in the most complicated areas.
Bridging Loan Finance Experts
Bridging loans from 0.49%
Linked with a network of more than 100 loan providers, Starck Uberoi Bridging finance experts will guide you to reach the best solution, matching all cases to the right lender.
Bridging Finance Experts
Bridging finance allows you to borrow money for a short period of time (usually for up to 18 months maximum), which borrowers use to purchase a property or restore a derelict property. You can then repay the bridging loan with a conventional mortgage.
What we do
We are able to advise you on bridging finance solutions for you and help you make a selection based on what your requirements are.
Our ‘One Stop Shop’ approach can save you valuable time in finding a bridging loan which is right for you, all while making sure you receive bespoke legal advice from our experienced conveyancing solicitors.
We always work in our client’s best interests and are determined to provide the best service for our clients, no matter their situation.
Residential & Buy to let mortgages
Our residential mortgage experts are here to help you organize your mortgage, whether it’s for your first or subsequent property purchase. We can also support you in exploring re-mortgage options. Our mortgages are provided independently across the entire market, ensuring that you receive the best advice for your individual circumstances. From high street banks to specialist lenders, we are able to find the very best deals for you.
We can offer-in-depth advice on residential, buy-to-let, commercial, later life mortgages and much more. Once you’ve chosen the type of mortgage that’s most suitable for you, we’ll guide you through the entire process to help ensure your mortgage goes through seamlessly.
Transferring or buying a property in a Limited Company
Our expert limited company conveyancing team guarantees a simplified, seamless transition when transferring, purchasing, or remortgaging your property into a limited company. When transitioning to a limited company, you’ll shift from paying income tax to corporation tax on profits, which is notably lower than the income tax applicable to higher rate taxpayers.
Starck Uberoi Solicitors will co-lead the transaction, providing you a clearer, quicker personalized support throughout the entire process. As trusted solicitors on the conveyancing panels of leading limited company lenders such as MOLO finance,TMW, Paragon, and Precise Mortgages, we ensure our clients receive reliable and comprehensive support.
Your Questions Answered
Bridging loan
How long does a bridging loan take?
A bridging loan usually takes between 5-21 days to complete. But it may depend on your choice of lender, of how quickly the process of application goes through.
I plan to take out a bridging loan to buy a derelict property to refurbish into flats. could i split my title in order to pay back the bridging loan?
You certainly can – You can split your property’s title into several new units and arrange new mortgages for each new unit in order to redeem your loan.
In order to ensure your new mortgages are in place before your bridging loan is due to be repaid, it may be wise to take a mortgage from a specialist lender who provides financial solutions specifically designed for investors using a bridging loan. While many mortgage advisors will not be able to advise on these types of mortgages, our expert mortgage brokers have an in-depth understanding of the options available and can recommend you a loan which meets your requirements.
Residential mortgages
I own a freehold property worth £800,000 with an outstanding mortgage of £500,000. I divided the property into four flats 3 years ago and now want to split my title into three leases. I plan to remortgage the new leases to pay off the rest of my mortgage and raise more funds to purchase another property. Will this work and is SDLT payable?
This can work, but there’s a few things you’ll need to think about. A freeholder can’t grant leases to themselves, so you’ll need to grant the leases either to another individual or a limited company.
Bear in mind that SDLT is payable at the higher rate for companies for any leases worth more than £40,000, and the 15% corporate rate is applicable for properties worth more than £500,000. As mentioned above, SDLT on company property acquisitions is based on the market value of the property, rather than the price paid for it – so granting the leases for no premium won’t stop you from having to pay SDLT.
Regardless of who the “purchaser” is, there will also likely be a 3% surcharge applicable – this surcharge applies to all purchases by companies and to any purchases by individuals who already own at least one property and who aren’t replacing their main residence.
Limited Company Purchases
Do you have to pay stamp duty if you transfer a property to a company?
When conveying ownership of a property to a Limited Company, you have the liberty to transfer it at any price, even as low as £1. Nevertheless, it’s important to note that Stamp Duty Land Tax (SDLT) is typically assessed based on the property’s full market value rather than its purchase price.
Presently, corporate entities incur a 15% SDLT on property acquisitions exceeding £500,000. However, there exists relief for property businesses meeting specific criteria. It is advisable to consult a certified tax advisor for further details.
Can I keep control of my limited company and transfer my property to it?
This is due to the fact that your limited company is recognized as a distinct legal entity from yourself, even if you serve as its sole shareholder and director.
Do I have to set up a LTD to split my property title?
As most investors still want to retain ownership of the leases or freehold themselves, setting up a limited company means you can keep control of your whole property.
Setting up a limited company can also be a good idea if you’re planning on renting out the new leasehold properties. By owning the leasehold properties in your limited company name, you would pay corporate tax instead of income tax. Corporate tax is taxed at a rate of 15%, while higher rate taxpayers pay income tax at a rate of 40% – therefore, if you’re a higher or additional rate taxpayer, setting up a limited company could mean that you get to keep a lot more of your rental income.
Additionally, as a company director, you will be eligible for SSAS (Small Self-Administered Pension Scheme) and SIPP (Self-Invested Personal Pension) pension schemes which allow you to use your property investment to boost your pension in a tax-efficient way. Our financial planning team can tell you more about the benefits these schemes offer and which will be better suited for you.
Will I need more than one solicitor when transferring my property to a limited company?
Contact Us
You can find more information about the Title Split process in this blog from our partner company, Starck Uberoi Solicitors.
Brentford Office
Dock House 79 High Street, Brentford, TW8 8AE
0208 840 6640
Canterbury Office
8 The Precincts, Canterbury Cathedral, Canterbury, Kent, CT1 2EE
01227 693 053