Limited company ownership now accounts for 45.1% of buy-to-let properties in the UK, with the structure becoming the dominant model among landlords with larger portfolios, according to new industry data.
Analysis from portfolio management group Lendlord shows that whilst 54.9% of buy-to-let properties remain in private ownership, the balance shifts significantly as portfolio size increases.
Portfolio size drives corporate structures
Among landlords with one to three properties, 67.1% hold their assets privately. However, for those with 20 or more properties, 57.6% now operate through limited company structures. The crossover point occurs in the 11 to 20 property band, where company ownership becomes the larger share.
The shift reflects the impact of tax changes affecting private landlords in recent years, including restrictions on mortgage interest relief and additional Stamp Duty charges. Limited companies can deduct mortgage interest as an expense and pay corporation tax on profits rather than personal income tax rates, though they face additional reporting requirements.
Regional variations and borrowing costs
The North East shows the highest proportion of corporate ownership at 53.5%, with company structures also more established in Yorkshire & Humberside and Scotland. The trend mirrors broader changes in the lettings market across different regions.
The tax advantages come with higher borrowing costs. The average buy-to-let mortgage rate for private landlords stands at 4.76%, whilst company landlords pay 6.44%.
Aviram Shahar, co-founder of Lendlord, said: “Company ownership is no longer a niche structure used only at the very top of the market. That split matters. Smaller landlords still tend to hold in their own name. Larger landlords, and more of the North, have already moved into companies.”
The data suggests a structural shift in the buy-to-let sector, with tax efficiency increasingly outweighing higher borrowing costs for landlords with substantial property portfolios. The division between smaller private landlords and larger corporate operators appears likely to widen as regulatory and tax pressures continue to evolve.
