Buy-to-let conveyancing for landlords

Buying personally or through a company

Landlords usually buy either in their own name or through a limited company, often a special purpose vehicle: a company set up only to hold property. The choice affects how rental profits are taxed, which mortgages you can get and what happens when you sell, so speak to an accountant or tax adviser before you commit.

Buying through a company adds legal steps. Your conveyancer will check the company and the people who own and run it, and lenders often ask directors to agree to repay the loan personally if the company cannot. Moving a property you already own into a company counts as a new purchase and can bring its own tax costs.

Higher rates of property tax

Buying an additional home, such as a buy-to-let, means higher property tax in England, Wales and Northern Ireland. Companies usually pay the higher rates even if they own no other homes.

• England and Northern Ireland: Stamp Duty Land Tax (SDLT) is 5 percentage points more on every band, not applied to purchases below £40,000. Non-UK residents pay a further 2%. A company buying a home over £500,000 can face a flat 17% rate unless a relief applies, for example for a property rental business.
• Wales: the higher rates of Land Transaction Tax (LTT) are 5% up to £180,000, 8.5% to £250,000, 10% to £400,000, 12.5% to £750,000, 15% to £1.5 million and 17% above.

For example, a £200,000 buy-to-let in England would cost £11,500 in SDLT, compared with £1,500 at the normal rates. SDLT is due within 14 days of completion, and LTT within 30 days. Explore your figures with our stamp duty calculator.

What buy-to-let lenders look for

Buy-to-let mortgages are assessed mainly on the rent. The lender's valuer estimates what the property should let for, and the lender checks that this covers the mortgage payments by a margin it sets. Expect to need a larger deposit than for a home you live in.

Lenders also set rules about the property and the letting, such as letting to family, shared houses and holiday lets. Your conveyancer usually acts for the lender too, so the firm must be on your lender's panel (its list of approved conveyancers), and we look for one that is.

Leasehold flats

In England and Wales, flats are usually leasehold: you own the flat for a fixed number of years under a lease, and a landlord or management company looks after the building. Check early that the lease allows letting, and whether each letting needs the landlord's consent or a fee. Some leases ban short lets or holiday lets.

Your conveyancer will also check the service charge (your share of the building's running costs), ground rent, major works and building safety, and your lender will set a minimum remaining lease length. Changes are being brought in by the Leasehold and Freehold Reform Act 2024; your conveyancer will tell you what applies on the date of your transaction. See our leasehold guide.

Buying with tenants in place

If you buy with tenants in place, you become their landlord on completion. Your conveyancer will ask the seller for the paperwork, which commonly includes:

• The tenancy agreement, a rent statement and any notices given to or by the tenants.
• Details of the deposit and the scheme protecting it, so it can be transferred to you.
• Gas and electrical safety reports and the energy performance certificate (EPC), which rates energy efficiency.
• Any licence or registration the property needs.

Rent for the period in which completion falls is normally split with the seller. Make sure the tenants know who their new landlord is and where to pay.

Licensing and the new letting rules

In England, a large house in multiple occupation (HMO), meaning a home let to five or more people from more than one household who share facilities, must have a licence from the council. Councils can also require licences for smaller shared houses, or for most rented homes in a chosen area, known as selective licensing. A licence cannot be transferred to a new owner, who needs a licence of their own, so check with the council early.

The Renters' Rights Act 2025 changed the rules in England from 1 May 2026. Section 21 "no-fault" evictions ended, tenancies no longer have fixed end dates, and rent can be raised only once a year using a formal notice. More changes, including a database of landlords and a landlord ombudsman, are being introduced in stages, so check the latest GOV.UK guidance.

Landlords must also register in Wales (with Rent Smart Wales) and Northern Ireland. Wales has its own renting law too; see conveyancing in Wales.

Selling a tenanted property

You can sell with the tenants staying, usually to another landlord, or with the property empty, known as vacant possession. Selling with tenants in place avoids a gap in rent, but it limits your buyers to investors.

For vacant possession in England, you will usually need the possession ground for selling (a legal reason for ending a tenancy), which needs four months' notice and cannot take effect in the first 12 months of a tenancy. Once you have used it, you cannot re-let the property, or market it to let, for 12 months. In Wales, a landlord must usually give at least six months' notice under the rolling contracts most private lets use. Rules differ in Wales and Northern Ireland, so take advice before you serve any notice.

Whichever route you choose, gather the tenancy paperwork early, as the buyer's conveyancer will ask for it. If you make a gain, you may need to report and pay Capital Gains Tax (tax on your profit) within 60 days of completion, so speak to a tax adviser. You can also get a sale quote.

Your next steps

Get your buy-to-let quote to see the legal fee, VAT, disbursements and an estimate of the higher rate tax, each shown separately. Considering a company purchase? Read our guide to buying property through a company first. When you ask to go ahead, we introduce you to a regulated law firm, which confirms its fees in writing before you instruct it.