"A growing number are now choosing to set-up limited companies to take advantage of the preferential tax treatment."
The Society is focusing on non-trading limited companies that exist solely for buying, selling and letting residential property with up to 4 UK-based directors or shareholders.
Two-year variable rates are available from 3.49% with a guarantee and 3.99% without a guarantee, both with a £199 application fee and a £1,800 completion fee.
Applications with a personal guarantee are available up to 75% LTV whilst those without are capped at 65%.
The ICR must be at least 125% at 5.5% or 2% above pay rate, whichever is higher (excluding holiday lets which are based on an annual average income from seasonal rent).
Whilst expats are excluded, purchasing or remortgaging a UK holiday let on the new limited company products is allowed up to 70% LTV.
Paul Lewis, national development manager at the Mansfield, said: “Over recent years landlords have been impacted by changes in tax law, with many seeing a considerable reduction in their net income. As a result, a growing number are now choosing to set-up limited companies to take advantage of the preferential tax treatment.
"Our flexible approach and extensive range of specialist products are becoming increasingly popular and already includes regulated ‘family’ buy-to-let, expat buy-to-let as well as holiday lets. The addition of limited company buy-to-let provides another reason for brokers to consider The Mansfield for their buy-to-let needs and is yet another big step on our journey."
