Lending decisions are based on lending criteria and, where applicable, subject to credit check and an assessment of individual circumstances.
If you’re looking to buy a shop, office or business premises, you might be wondering what type of mortgage you need.
Commercial mortgages aren’t as widely talked about as residential mortgages, but they don’t need to feel complicated. At Together, we take a common-sense approach. We look at the property, your plans and your circumstances to understand what could work for you.
This guide explains what commercial mortgages are, how they work and how Together could help you move forward with your business or investment plans.
A commercial mortgage is a loan used to buy or refinance property for business or investment purposes.
It works in a similar way to a residential mortgage, but it’s designed for property that isn’t purely residential. The loan is secured against the property, which means it could be repossessed if repayments aren’t maintained.
You could use a commercial mortgage for:
Commercial mortgages aren’t just for large corporations. At Together, we work with small businesses, self-employed customers and investors as well as established companies. If your plans involve property that isn’t purely residential, this could be the right type of mortgage for you.
A commercial mortgage is shaped around the property, the amount you want to borrow and how you plan to repay it.
Here’s how it works in practice:
At Together, we can offer commercial mortgages up to 70% loan-to-value, or up to 100% with additional security.
Commercial mortgages are often more flexible than residential mortgages. We look at your full situation to understand what’s possible and how we can structure the loan around your needs.
A commercial mortgage can support a wide range of plans, whether you’re running a business or building a property portfolio.
You might use one for:
A commercial mortgage can also help support growth, investment or a change in your business plans.
It depends on the type of property and how you plan to use it.
You might need a commercial mortgage if:
Semi-commercial means the property has both commercial and residential elements. This could be a shop with a flat above it, or a B&B you live in and run as a business.
You might not need a commercial mortgage if the property is purely residential, or if you’re buying a home to live in. A residential mortgage, buy to let mortgage or bridging loan could be more suitable depending on your plans.
Explore our buy to let mortgages if your plans involve residential rental property.
We work with a broad range of customers, including:
You might be applying as an individual, partnership or a limited company. Some situations are straightforward. Others are more complex. Either way, we don’t rely on rigid criteria alone.
We take the time to understand your circumstances and look at the bigger picture.
At Together, we can arrange funding for a wide range of commercial property types.
These include:
Every case is different. Whether you’re buying a single office or building a portfolio, we’ll look at the detail and take a practical view of what could work.
We offer commercial mortgages from £50,000 to £5 million.
How much you can borrow depends on the property, transaction and your circumstances.
Loan-to-value, or LTV, means the percentage of the property value you borrow. For example:
| Property value | LTV | Loan amount | Deposit or equity |
|---|---|---|---|
| £1 million | 70% | £700,000 | £300,000 |
Your deposit can come from cash or equity in another property.
At Together, we can lend up to 70% LTV. In some circumstances, we may be able to lend up to 100% with additional security.
Your interest rate is based on your overall situation. The two main factors are:
We don’t base decisions on credit score alone. We look at the full picture, including the property, the purpose of the loan, the repayment plan and your individual circumstances.
Do you want to understand the potential cost of your mortgage or loan?
We can give you an idea of the monthly costs with just a few details like the property value, your deposit amount and how long you need the loan to last.
Find out hereArranging a commercial mortgage typically takes several weeks. This is because we need to assess:
If you need funding more quickly, a bridging loan may be an alternative. We can talk you through this if timing is a key factor for you.
Commercial mortgages can include a range of fees, depending on the loan and your circumstances. These can include:
We’ll always explain fees clearly before you go ahead, so you know exactly what to expect.
Getting started is simple. Tell us about the property and your plans, and we’ll talk you through your options and what the next steps could look like.
A commercial mortgage can help you buy or refinance property for your business or investment plans. They can support business premises, property investment, refinancing or growth.
At Together, we take a practical, common-sense approach. We look at your situation as a whole and work with you to find a way forward.
If you’re ready to take the next step, speak to our team to find out how we could help with your commercial mortgage.
A commercial mortgage is used to buy or refinance property for business or investment purposes. This could include a shop, office, warehouse, mixed-use property or land.
In many cases, you will need a deposit or equity. However, we might be able to lend up to 100% of the property value if you have enough equity in another property to use as additional security.
You can get a commercial mortgage on a property with both residential and commercial elements. These are called semi-commercial or mixed-use properties. Examples include a shop with a flat above it, or a B&B you live in and run as a business.
Yes, we can lend on land for commercial purposes. This could include land with or without planning permission. The type of land, your plans and your circumstances will all be considered.
Your rate will depend on factors such as loan-to-value and credit history. We’ll look at your overall situation, rather than relying only on your credit score.
It typically takes several weeks because the property, financial position and transaction details need to be assessed. If you need funding faster, we might be able to discuss a commercial bridging loan.
Fees can include an arrangement fee, early repayment charge and redemption administration fee. There might also be other fees depending on your mortgage and circumstances. We’ll explain these clearly before you go ahead.
We offer commercial mortgages from £50,000 up to £5 million. In most cases, we can lend up to 70% of the property value. In some circumstances, you may be able to borrow more with additional property as security.
If your circumstances change, we can review your situation and explore available options. This could include extending your loan term or borrowing additional funds, depending on your needs and eligibility.
All mortgages are subject to our terms and conditions.
Loans offered by Together Commercial Finance Limited are not regulated by the Financial Conduct Authority.
