Should You Buy Investment Property Personally or Through a Company?

Hold your rental in your own name or set up a limited company?

The answer isn’t one‑size‑fits‑all, but here’s a framework:

• Your first buy‑to‑let: If you’re buying your first property and you’re

non‑resident, holding it personally often makes sense. Why? You benefit from

your personal tax‑free allowance and avoid the extra costs and admin of a

company structure.

• Scaling up: Once you’re on to your second, third or fourth property, buying

through a limited company can be much more tax‑efficient. Companystructures allow you to offset mortgage interest against rental income and pay

corporation tax rather than higher‑rate personal tax on profits.

• But… Company mortgages can be more expensive, and profits taken out of the

company trigger personal tax. Paperwork and accountancy fees also increase.

The right choice depends on your residency status, your tax bracket, your financing

options and your long‑term goals. Don’t assume what works for a friend or influencer

works for you.

Before you decide, model the numbers, consider how many properties you plan to

own, and get advice from someone who understands UK tax rules for expats. Making

the wrong call could cost you thousands.