Commercial & Semi-Commercial Mortgages
Whether you're purchasing a commercial investment, expanding your business premises, or financing a mixed-use property, we source competitive mortgage solutions tailored to your needs.
What is a Commercial Mortgage?
A commercial mortgage is a loan secured against a property that is used wholly or partly for business purposes. Unlike residential mortgages, commercial lending is assessed primarily on the income-generating potential of the property and the financial strength of the borrower or business.
Commercial mortgages are available for owner-occupiers — businesses purchasing their own trading premises — as well as investors looking to generate rental income from commercial property. Terms, rates, and lending criteria vary significantly between lenders, which is why specialist advice is essential.
Commercial vs Semi-Commercial
Commercial Mortgage
Secured against a property used entirely for commercial purposes — no residential element.
- Offices and business parks
- Retail units and shops
- Industrial and warehouse units
- Hotels and leisure properties
- Care homes and healthcare
- Land and development sites
Semi-Commercial Mortgage
Secured against a mixed-use property that combines both commercial and residential elements.
- Shop with flat above
- Pub with owner accommodation
- Office with residential conversion
- Mixed-use investment blocks
- Ground floor retail, upper floor flats
- HMO with commercial unit
Semi-commercial properties are assessed differently by lenders — the split between commercial and residential income, the tenancy mix, and the overall yield all influence the lending decision. Our advisers have experience placing both straightforward and complex mixed-use cases.
Owner-Occupier vs Investment
Owner-Occupier
Your business purchases and trades from the property. Assessed on business trading performance and affordability.
- Typically up to 75% LTV
- Assessed on business accounts
- Fixed and variable rate options
- Terms typically 5–25 years
Investment / Buy to Let
You purchase the property to let to a business tenant and generate rental income. Assessed primarily on rental yield.
- Typically up to 70–75% LTV
- Assessed on rental income
- Tenant covenant considered
- Interest-only options available
Key Features of Commercial Mortgages
Who Can Apply?
Commercial mortgages are available to a wide range of applicants, including sole traders, partnerships, limited companies, LLPs, and Special Purpose Vehicles (SPVs). Lenders will assess the financial strength of the business or individual, the quality and location of the property, and the strength of any tenancy agreements in place.
Why Use a Specialist Broker?
Commercial mortgage lending is far less standardised than residential lending. Rates, fees, and criteria vary enormously between lenders, and many of the most competitive products are only available through specialist brokers. A lender that is right for one property type or borrower profile may decline a very similar case from a different applicant.
At Your Mortgage Brokers, we have access to a wide panel of commercial lenders — including high street banks, challenger banks, and specialist commercial finance providers. We assess your situation in full before approaching lenders, ensuring your application is presented in the strongest possible light.
Important Information
Commercial and semi-commercial mortgages are not regulated by the Financial Conduct Authority in the same way as residential mortgages. Your property may be repossessed if you do not keep up repayments on a mortgage or any other debt secured on it. Think carefully before securing other debts against your property.
Discuss Your Commercial Mortgage
Speak to our specialist advisers today for a no-obligation consultation on commercial or semi-commercial finance.
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