If you’re buying or refinancing a mixed-use property—like a shop with flats above or an office with residential space—standard buy-to-let lenders usually won’t touch it. That’s where a semi-commercial mortgage comes in.
At Mortgage Knight, we specialise in arranging mortgages for semi-commercial properties. Whether you’re an investor, landlord, business owner or SPV looking to diversify your portfolio, we work with lenders who understand the blend of residential and commercial income.
A semi-commercial mortgage (also known as a mixed-use mortgage) is designed for properties that combine both residential and commercial units under one freehold.
Examples include:
These properties often offer strong rental yield and diverse income, but need specialist lenders to fund.
We help:
We also help with land purchases and developments—just ask.
| Feature | Typical Terms |
|---|---|
| Loan size | £50,000 – £5 million+ |
| Deposit required | 25–35% (based on value or purchase price) |
| Ownership | Personal or Limited Company (SPV) |
| Accepted property types | Retail + flats, takeaways, surgeries, salons, etc. |
| Tenancy types | ASTs, commercial leases, mixed-use income |
| Repayment options | Interest-only or capital repayment |
| Term length | 5–30 years |
| Minimum income | Often not required – based on property income |
Status: Jay was purchasing a freehold building with a ground-floor convenience store and two rented flats above.
Challenge: His bank declined the mortgage due to the commercial element.
Solution: We secured a 75% LTV semi-commercial mortgage with a lender who accepted mixed-use income and a newly signed 10-year lease for the shop.
Outcome: Jay completed in 5 weeks and achieved a 9% gross yield.
Status: Anna released over £80,000 in equity and secured a new purchase in just 3 months.
Solution: We arranged a £320,000 mortgage at 70% LTV, based on combined residential and commercial income.
Outcome: Anna released over £80,000 in equity and secured a new purchase in just 3 months.
Status: Claire ran a beauty salon from a rented unit with a flat above and had the chance to buy the freehold.
Solution: We arranged an owner-occupier semi-commercial mortgage that covered both her business and the rental element.
Outcome: Claire now owns her premises, collects rent from the flat above, and secured a lower monthly cost than her old rent.
If you’re buying or refinancing a semi-commercial property, you need a mortgage broker who understands both sides of the deal—residential and commercial.
Speak to Mortgage Knight today for tailored, fast and expert support on your next project.
A: Any building that combines commercial and residential use—like a shop with flats, or a doctor’s surgery with a flat attached.
A: Yes. Many semi-commercial investors use SPVs for tax efficiency. We work with lenders who accept company ownership.
A: It helps—but some lenders accept first-time landlords, especially for lower-value or owner-occupied deals.
A: Slightly—but they’re still competitive, and the stronger yield often outweighs the rate difference.
A: Absolutely. We help clients refinance for better rates, equity release, or to switch from personal to limited company ownership.
