Landbay – reviews, analysis and fees

Last updated on 10 August 2023

Landbay is an online-only provider of buy-to-let mortgages, funded on a peer-to-peer basis.

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This provider offers loans to SPVs seeking investment properties to let to paying tenants, though that’s it – you will qualify for a commercial mortgage on a building to trade from through this lender, and you will not have access to any other financial products.

This makes Landbay an extremely unique service for business borrowers – this is a really an institution that has personal borrowing and property management in mind.

Video: Business loans and finance explained

Landbay commercial mortgages and buy-to-let mortgages

Pros and cons of Landbay for business finance 

ProsCons
Selection of buy-to-let mortgages for SPVs Not really suited for business mortgages
Excellent online review No other products available for business finance
Landbay pros and cons

Commercial mortgages

The only product offered by Landby is buy-to-let mortgages. While this business offers over 70 different products of this type, just 12 of them relate to a business. If you qualify for lending of this type, the property can be rented to private tenants or a commercial enterprise. 

A business interested in investing in buy-to-property can borrow between £100,000 and £1,000,000, provided the criteria are met and you have a deposit of at least 25%. Interest rates will vary depending on whether the mortgage is for a traditional residential property, an HMO, or a multi-unit freehold. 

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Landbay account login

Asset finance 

Not available through Landbay. See asset finance.

Business loans

Not available through Landbay. See business loans

Merchant cash advance

Not available through Landbay. See merchant cash advance.

Invoice finance

Not available through Landbay. See invoice factoring.

Business vehicle finance

Not available through Landbay. See business vehicle finance

Business credit cards

Not available through Landbay. See best business credit cards

Landbay key information

Phone number020 7096 2700
App downloadsN/A
Websitewww.landbay.co.uk
Number of branchesN/A
FSCS protected?No
Founded2014
Key information

Landbay reviews

Review platformScoreNumber of votes
TrustPilot4.5/5285
FeefoNot reviewedN/A
Reviews.ioNot reviewedN/A
Smart Money People4.67/512
Which?Not reviewedN/A
Average score4.585/5297
Landbay reviews and ratings

Business eligibility criteria

Landbay’s commercial mortgages are only available to SPV businesses under these criteria.

  • All applicants must be based in the UK
  • No holiday lets permitted
  • At least one applicant needs previous landlord experience
  • Identified property must be ready to rent and attract immediate rental yield

Business finance alternatives

InterBay is an example of the polar opposite of Landbay, exclusively offering commercial mortgages rather than private or personal lending. If you are seeking a commercial mortgage, though, it’s generally advisable to team up with a trusted broker that will locate the best deals for your needs.

Additional considerations

Landbay is regularly honoured at property-specific awards ceremonies, but the same caveat as always applies here – these awards are for the personal lending service provided by Landbay, not business or commercial mortgages.

FAQ

How do I apply for finance from Landbay?

You can call Landbay on 020 7096 2700 to discuss what mortgage products you may qualify for, use Landbay’s online calculator. The latter may be advisable, as this lender tries to do as much as possible online.

How much can I borrow from Landbay?

A business can borrow up to £1,000,000 on a Landbay buy-to-let mortgage, though obviously the upper limit of your precise borrowing will depend on your finances and potential rental yield.

What interest rate will Landbay assign to my lending?

The average interest rate on a Landbay buy-to-let mortgage for an SPV is between 1.69% and 5.69% plus the Bank of England base rate. If you can afford a bigger deposit and are prepared to enter a mortgage with a shorter fixed term you’ll get a better initial interest rate.

Does Landbay charge a product fee for a mortgage?

Yes, a Landbay buy-to-let mortgage taken out by a business will have a product fee of 2% or 3% of the mortgage’s final value. If you are teaming up with a broker, you will also likely need to pay them an additional fee,

Can I get a general business loan from Landbay?

No, Landbay does not offer generic loans to SMEs. This business specialises in buy-to-let mortgages only.

If I get a mortgage form Landbay, can I work from the property? 

No, all mortgages offered by Landbay are on a buy-to-let basis. If you take out a mortgage and use it for your own business needs, you will be in violation of your mortgage agreement and may be liable to immediately repay the loan in full or risk foreclosure.

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Reviewed by , Managing Director

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