One trend that has been clear in the robust BTL market is the growing number of landlords borrowing through limited companies.

The steadily rising change in the way landlords invest and borrow to purchase rental properties has been happening for a while, with the catalyst for this shift happening in 2016 when landlords could no longer claim full mortgage interest tax relief.

This is not just an interesting fact to know about the current BTL market, but something that should be considered when advisers guide their landlord clients.

Aldermore is one of those lenders and will lend to both special purpose vehicles and trading companies, against portfolios worth up to £5m, with no income restrictions for experienced landlords with at least six months’ letting history.

This links to another trend that is becoming more prevalent; the increasing interest in shared living, such as that offered by HMOs.

According to the NRLA, tenants are turning to this way of living in search of affordable accommodation and flexible living arrangements.

Property management platform COHO’s Shared Living Survey 2025 also revealed that renters liked the social aspect of house sharing and having access to amenities.

Landlords are taking note of this, which is to be expected as there are decent yields to be made with HMOs, with Lendlord data putting this at an average of 10.4%.

Always aiming to keep on top of sector developments, Aldermore has recently relaunched its HMO proposition, in response to broker feedback and the lender’s own awareness of the changing BTL landscape.

Anecdotally, brokers have told Aldermore that the HMO market is growing, with greater professionalism from clients and improving quality.

Aldermore will offer free valuations on single HMO property applications with up to six beds, and the range has a lower interest cover ratio (ICR) threshold to boost affordability and borrowing capacity.

Brokers will gain access to a new tailored case management service so they can monitor the progress of an application from start to finish.

The range also includes flexible conveyancing with the choice of either managed or open panels. Products include assisted legal fees too, whether that is for purchase or remortgage.

Aldermore will lend up to £2m at 65% loan to value (LTV) and £1.5m at 75% LTV for HMOs.

BTL investment is evolving into something that is more sophisticated and complex, and it is important for Aldermore as a lender to provide the right product support to the broker and landlord community – we listen to broker and landlord feedback to help us in this.

Not only will this support the landlords with leverage in the market, but suitable lending options will only make it easier for advisers to assist their clients and address their needs.