Commercial Mortgage Rates

Review the latest commercial mortgage interest rates and criteria and speak to a commercial mortgage expert to find the right deal for you.

Many commercial mortgage lenders will not publicise their rates and will offer bespoke products tailored to your own circumstances.

Call us today or request a free commercial mortgage review.

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    Commercial mortgage rates from the UKs leading Commercial Lenders

    Santander Bank Logo
    LLoyds Bank Logo
    Natwest Bank Logo
    Barclays Bank Logo
    Yorkshire Building Society Logo
    Allica Bank Logo
    Santander Bank Logo
    LLoyds Bank Logo
    Natwest Bank Logo
    Barclays Bank Logo
    Yorkshire Building Society Logo
    Allica Bank Logo

    and many more…

    Current Commercial Interest Rates

    Interest rates currently range from 5.95% to 12%, depending upon the lender and the type of commercial mortgage required.

    The rate you pay will depend on several factors, and the following can influence the rate a lender will offer.

    • Type of mortgage (owner-occupied or investment)
    • Loan size
    • Loan To Value
    • Repayment Method
    • Business Sector or Tenant Profile
    • Type of property (commercial or semi-commercial)
    • Energy Efficiency of the property
    • Lender ( Tier 1, 2 or 3)
    • Credit Profile

    Commercial rates for loans below £150,000

    Funding for loans below £150,000 will be limited.

    This is particularly so for investment properties, with perhaps 2 or 3 lenders who can consider.

    Due to the loan size, rates will be at the higher end, ranging from 9.5% to 11.6%, with a maximum LTV of around 70%.

    For owner-occupied properties, where criteria fits, more favourable terms could potentially be achieved.

    Current Bank Of England Base Rate:

    5.25%

    Mortgage rates as of 20th June 2024.

    The information below shows the current rates on offer from the UK’s leading lenders as of 20/06/2024. Rates shown will be subject to LTV, type of security and other criteria.

    Commercial mortgages are not underwritten like residential mortgages, and lenders will often issue bespoke rates depending on the applicant and business profile. Call us to find out more.

    Allica Bank Commercial

    Lender

    Allica Bank Logo

    From

    5.85% to 9.30%

    (Range of variable tracker rates and 5-year fixed rates)

    Type

    Owner Occupied & Commercial Investment

    Maximum LTV

    80% (owner occupied) & 75% (investment)

    Allica Bank is a relatively new bank, having been granted its banking license in 2019, and it has since grown quickly with a team of over 250+. With a mission to be the go-to bank for established businesses in the UK, it’s certainly working toward achieving that goal.

    Loans are available for Care Homes, Children’s Day Nurseries, Convenience Stores, Guest Houses and B&B’s, Hotels, Professional Practices, Public Houses, Leisure Facilities, Factories, Food Outlets, Garages, Holiday Lets, Industrial Units, Mixed Use, Offices, Retail, Student accommodation and Warehouses. (LTVs will vary depending upon type)

    Loans from £150,000 to £10m are available subject to security type.

    Loans are available on both a capital and interest and interest-only basis.

    • Loan Terms of 5 to 25 years (interest only max of 5 years)
    • Semi-commercial apportionment is defined by the percentage of floor space across a semi-commercial property or portfolio (confirmed at valuation). The residential element must not exceed 80% and must be capable of being let on a separate assured shorthold tenancy. The commercial element must be not less than 20%. Properties less than 50% residential will be classed as commercial from a product perspective.

      Assetz Capital Commercial

      Lender

      Octopus Bridging Logo

      From

      3% + Bank Base Rate

      Type

      Owner Occupied & Commercial Investment

      Maximum LTV

      65% Purchase and 60% for Remortgage

      Assetz Capital is a specialist lender offering commercial, development, and bridging finance and lending in Mainland UK, Northern Ireland, and Scotland.

      They aim to structure each facility on its merits, and commercial rates will be priced accordingly. They are a flexible lender and can work outside of standard criteria guidelines if the circumstances warrant doing so.

      They can lend to Limited companies & LLPs and all property types can be considered.

      Loans from £750,000 to £50m are available subject to security type.

      Loans are available on a capital repayment basis, and interest only periods can be considered.

      • Loan / Commitment terms up to 5 years (or 7 years for variable rate loans), but loans can be amortised for up to 25 years.
      • Max 70% LTV.
      • 1st legal charge only, plus debenture and a level of personal guarantee will be required for corporate borrowers.

        Barclays Commercial

        Lender

        Barclays Bank Logo

        From

        Bespoke – Priced On Application

        (Range of variable tracker rates and fixed rate terms from 1 to 10-years)

        Type

        Owner Occupied & Commercial Investment

        Maximum LTV

        75%

        Barclays offer a range of specialist business mortgages, including commercial and agricultural finance.

        Minimum loan size of £25,001.

        Loans are typically available on a capital repayment basis only.

        • Loan terms up to 25 years
        • LTV will depend upon the commercial sector.

        Bespoke mortgage rates

        Some lenders, typically High St Banks, do not publish rates and will offer bespoke rates after a full application assessment and taking into account the specific needs and circumstances of the borrower.

        Some factors that might additionally influence the rate on offer include:

        • Risk Assessment – evaluating factors such as applicants, the business’s credit profile, and the strength of the business.
        • Current Market Conditions
        • Relationship with the applicant – does the applicant have any current facilities with the lender, and how have they been conducted

        Offering bespoke commercial mortgage rates will allow a lender to be flexible and to issue customised terms to potential borrowers.

        A guideline for commercial rates from High St lenders will be from 7% to 10% in the current market.

        Cambridge & Counties Commercial

        Lender

        Allica Bank Logo

        From

        Bespoke – Priced On Application

        Type

        Owner Occupied & Commercial Investment

        Maximum LTV

        70%

        Cambridge and Counties Bank is a specialist Bank owned by Trinity Hall and Cambridge and Cambridgeshire Local Government Pension Fund. They offer a range of specialist financial products, including commercial mortgage finance, bridging loans, asset finance and VAT loans.

        Funding is available to business owners and experienced investment landlords on a first-charge only basis in England, Scotland & Wales.

        Owner-occupiers require 1 years trading history and short term leases or licenses can be acceptable for commercial investment purposes.

        Minimum loan size of £250,000 and up to £15m maximum borrowing.

        Loans are available on both a capital and interest and interest-only basis.

        • Loan terms from 12 months to 25 years
        • Lend in England, Scotland & Wales
        • Experienced landlords only for commercial investment
        • For Investment properties – can lend up to 70% of the open market value, and for owner-occupied 70% of the vacant possession value
        • Short term leases are acceptable

          Hampshire Trust Commercial

          Lender

          Allica Bank Logo

          From

          6.54% to 8.04%

          Type

          Semi Commercial Only (Owner Occupied & Commercial Investment)

          Maximum LTV

          70%

          Hampshire Trust Bank (HTB) is a specialist bank offering a range of specialist financial products, including commercial and buy-to-let mortgages, asset finance, and bridging and development finance.

          For commercial mortgage purposes, they will only lend on mixed-use semi-commercial assets, lending to Limited companies, Expats, Trusts and offshore and Foreign Nationals.

          Large HMOs, Holiday Lets and purpose-built student accommodation can also be considered.

          Loans from £100,000 to £25m.

          Loans are available on both a capital and interest and interest-only basis.

          • Loan Term up to 30 years
          • Lend in England & Wales Only
          • First time landlords are accepted (subject to having a minimum income of £35,000 per annum)
          • Semi-Commercial properties only, and the value of the residential element must be at least 50% of the total valuation and should have its own separate access.

            Access The Best Commercial Mortgage Rates

            We source commercial mortgage finance from the UK’s leading Banks and Building Societies, along with a range of specialist commercial lenders. This ensures we can find the very best commercial rates to suit your requirements.

            Call us on 01604 212879 for a no obligation commercial mortgage quote.

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            Funding Available Up To 75% LTV

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            Borrow From £50,000 To £25m

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            Interest Only Commercial Loans

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            Terms Up To 35 years

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            Rates For Owner-Occupied & Investment

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            Fixed & Variable Commercial Rates

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            NO BROKER FEES!

            Interbay Commercial

            Lender

            From

            6.44% to 8.49%

            (Range of 2 and 5 year fixed rates & subject to security type)

            Type

            Owner Occupied & Commercial Investment

            Maximum LTV

            75%

            Interbay Commercial is a subsidiary of One Savings Bank and part of the same group comprising Kent Reliance BS and Precise Mortgages. They offer a range of specialist mortgage products for commercial and semi-commercial units to owner-occupiers and commercial investment landlords.

            Interbay can lend on Retail, Office, Industrial, Leisure and hospitality (including Takeaway, Restaurants & Cafe, Hotels and B&Bs), Nursery / Creche, and GP Surgery / Pharmacies, lending to Individuals (UK and EU nationals residing in the UK), Limited Companies, LLPs and Trusts.

            First-time landlords can be acceptable, subject to individual circumstances. (will need to be a homeowner)

            Interbay currently have a minimum loan size of £350,000 for both commercial and semi-commercial properties.

            Loans are available on both a capital repayment basis and interest only. 

            • Up to 75% LTV based on the lower of vacant possession value, investment value or purchase price
            • England & Wales Only
            • Can lend up to age 85
            • Mortgage Term is 2 to 30 years maximum
            • Owner Occupiers must have been trading for 2 years
            • Will consider most asset types

            LLoyds Bank Commercial

            Lender

            LLoyds Bank Logo

            From

            Bespoke – Priced On Application

            Type

            Owner Occupied & Commercial Investment

            Maximum LTV

            70%

            Lloyds Bank is one of the UK’s largest financial institutions, with over 30 million customers and 65,000+ employees. 

            Lloyds Bank will lend to most sectors, including Agriculture, Care homes, Construction, Haulage and logistics, Schools, Manufacturing, Factories, Motor Trade, Professional Practices, Recruitment, Retail, Technology, Media and Telecomms, Wholesale and Wholesalers, Hotels and B&B’s, Pubs and Restaurants. 

            For professional practices, such as Dentists, Pharmacies, Doctors, and Veterinary Practices, up to 100% LTV can be considered. (based on the market value of the business premises, assuming the closure and non-viability of the business and subject to the valuer considering alternative use and confirming saleability)

            Minimum loan size of £25,001.

            Loans are available on a capital repayment basis, and interest-only can be considered in certain sector types only. 

            • Loan terms from 1 to 25 years
            • Max LTV of 70% but will vary depending upon sector and property type
            • Commercial Investment will likely be capped at 55% to 65% of the open market rental value.

              Call Us

              Call us on 01604 212879 and speak to a commercial mortgage expert

              Email Us

              If you would prefer to email and explain your situation in more detail, email us at:

              enquiry@adeptmortgages.co.uk

              Request a Call Back

              Use our call back form to request a call back and we’ll be in touch

              MT Finance Commercial

              Lender

              Shawbrook Bank Logo

              From

              7.05%

              Type

              Semi-Commercial Investment Only

              Maximum LTV

              75%

              MT Finance is a specialist short-term lender that typically specialises in bridging and auction finance, recently moving into offering commercial finance for semi-commercial investment properties. 

              Loans from £50,000 to £1.5m maximum

              Loans are available on both a capital and interest and interest-only basis.

              • Semi-Commercial properties only
              • Commercial element must not exceed more than 40% of the total property
              • Only the rental income from the residential part will be used for loan affordability

              Natwest Bank Commercial

              Lender

              Natwest Bank Logo

              From

              Bespoke – Priced On Application

              (Range of variable tracker rates and 3, 5, 7, 10 and 15-year fixed rates with no early repayment charges)

              Type

              Owner Occupied & Commercial Investment

              Maximum LTV

              75%

              Natwest is known as one of the big 4 banks on the High Street. Natwest is keen to help both new and existing business owners with their commercial funding requirements, focusing mainly on owner-occupied lending.

              Natwest will lend on most sectors, lending to sole traders, limited companies and LLP’s.

              Minimum Loan size (owner occupied) – £25,001 with no maximum for variable rate products and £10m for fixed rate products.

              Minimum Loan size (commercial Investment) – £50,000

              Loans are typically available on a capital repayment basis and straight-line amortisation for owner-occupied with a range of repayment profiles for commercial investment.

              • Loan terms of up to 25 years for owner-occupied and 15 years for commercial investment.
              • No early repayment charges on products
              • Fixed-rate products for 3, 5, 7, 10 and 15 years are available.
              • Potential for repayment holidays

                Octopus Commercial Mortgages

                Lender

                Octopus Bridging Logo

                From

                4.50% + GBP SONIA

                (SONIA – Sterling Overnight Index Average – currently 5.19%)

                Type

                Owner Occupied & Commercial Investment

                Maximum LTV

                70%

                Octopus Real Estate is a specialist lender providing various financial products, including commercial mortgage finance, bridging and development finance. 

                They can consider most sectors but also lend across several niche sectors, lending across the UK for commercial investment and mainland UK for owner-occupied businesses. 

                Minimum loan size of £500,000 and up to £25m maximum borrowing.

                Loans are available on both a capital repayment and interest-only basis.

                • Loan terms from 2 to 5 years
                • Max LTV 70%
                • Personal guarantees at 55% LTV or Higher, capped at typically 15% of the property value. 

                  Shawbrook Commercial

                  Lender

                  Shawbrook Bank Logo

                  From

                  7.44% to 11.44%

                  (Range of variable, 2, 3, 5 and 10-year fixed rates. Subject to security type and loan size)

                  Type

                  Commercial Investment Only

                  Maximum LTV

                  75%

                  Shawbrook Bank is a specialist lender offering products to investment landlords, small businesses and consumers, including commercial mortgage funding, specialist buy-to-let mortgages, bridging and savings.

                  Currently, commercial mortgage lending is for commercial investment purposes only.

                  Complex commercial investments are considered and welcomed and can lend to Individuals, LLPs, Limited Companies, Ex-Pats and Trusts.

                  Loans from £250,000 to £25m.

                  Loans from £250k to £1m will attract marginally higher rates. Loans £1m+ with discounted rates.

                  Loans are available on both a capital and interest and interest-only basis.

                  Interest-only terms – 3 to 12 years.

                  Part and Part – 3 to 25 years.

                  • Fully Commercial Units – Max LTV of 65%
                  • Semi Commercial to 75%
                  • Reduced personal guarantees are available to a minimum of 25% for non-complex cases.
                  • Various lease terms considered.
                  • Two years of landlord experience is typically required, although exceptions can be considered subject to applicant circumstances.
                  • Personal income can be used to support affordability

                  Together Money Commercial

                  Lender

                  Together Money Logo

                  From

                  9.99% to 11.24%

                  (variable and 5-year fixed rate only)

                  Type

                  Owner-Occupied & Commercial Investment

                  Maximum LTV

                  65% Purchase and 60% for Remortgage

                  Together Money is a specialist lender helping customers for nearly 50 years. They like to help where other lenders can’t, helping individuals, business owners and investors with complex property and background criteria.

                  They’ll lend to customers with a complicated income, employment situation, or impaired credit status and most property types can be considered.

                  Lending is available to Individuals, sole traders, LLPs, Partnerships, and Limited companies. Ex-pats and non-UK residents can also be accepted.

                  Minimum loan size of £50,000. 

                  Loans are available on both a capital repayment and interest-only basis.

                  • Loan terms from 5 years to 30 years.
                  • Lend in England, Scotland & Wales
                  • Max LTV of 65% for purchase and 60% for remortgage
                  • Personal income can be used to help support the loan.
                  • Loadings will apply to the rate dependent upon the severity of any adverse credit.
                  • Pubs, B&Bs, dry cleaners, and land are subject to a maximum LTV of 50%.
                  • 100% funding available with additional security.
                  • No Minimum Income requirement

                    The Cumberland Commercial

                    Lender

                    Cumberland Building Society Logo

                    From

                    Bespoke – Priced On Application

                    Type

                    Hotels, Guest Houses and B&B’s only

                    Maximum LTV

                    65%

                    The Cumberland BS offers a range of commercial mortgage products catering specifically for the hospitality sector, namely Hotels, Guest Houses and B&Bs.

                    Lending is available in England, Wales and Scotland, including some outer islands. 

                    The lender can also use background personal income to help support loan requirements. 

                    Minimum loan size of £75,000 and a minimum property value of £250,000.

                    Loans are available on a capital repayment basis, with interest only considered for up to 24 months.

                    • Loan terms up to 25 years
                    • Lend in England, Scotland & Wales
                    • Will lend to first-time investors
                    • No minimum income requirements

                      YBS Commercial

                      Lender

                      Yorkshire Building Society Logo

                      From

                      6.55% to 6.60%

                      (Range of bespoke variable tracker rates and 5-year fixed rates)

                      Type

                      Owner Occupied & Commercial Investment

                      Maximum LTV

                      75%

                      Yorkshire Building Society (YBS) offers commercial mortgage loans to owner-occupiers and commercial investment landlords. They can also provide funding for specialist buy-to-let funding for individuals and limited company portfolio landlords.

                      YBS can lend to Individuals, Partnerships, LLPs and Limited companies and funding can be secured against Industrial units, factories, warehouses, prime location and city centre offices, retail units, professional practices, and mixed use properties.

                      Loans from £300,000 to £20m area available subject to security type.

                      Loans are available on both a capital and interest and interest-only basis.

                      • Loan Terms of 5 to 25 years
                      • Lend against purchase price, open market vacant possession, or investment valuation (whichever is lowest of the 3)
                      • All asset types on interest only will be capped at 65% LTV
                      • Borrowing available in England & Wales only

                        Frequently Asked Questions

                        What is an Owner-Occupied Commercial Mortgage?

                        Owner-occupied is simply where the property owner also runs their business from the premises, rather than letting to a tenant. Rates for owner-occupied businesses are typically lower than for investment properties.

                        Is lending available for a 100% Commercial Mortgage?

                        Certain professional business sectors can qualify for 100% funding, such as a Dentist, Veterinary clinic, GP or Solicitor Practice. 

                        Alternatively, 100% funding can be secured by using other property as additional security.

                        Is a Business Loan the same as a Commercial Mortgage?

                        No, a commercial loan is typically used for the purpose of acquiring or refinancing a commercial property. Business loans can be used for a number of purposes such as working capital or equipment purchases.

                        Is a commercial mortgage cheaper than a residential mortgage?

                        No, rates for commercial property finance will be higher than those for residential property, as its classed as higher risk, and therefore reflected in the rates.

                        How often do we update our mortgage rates?

                        The rates we show are updated monthly or as and when a lender releases new products.

                        Is a commercial mortgage the best option for property finance?

                        If the property itself is commercial, then yes commercial mortgage funding will typically be the most viable means of financing the property.