Commercial mortgages and business finance in Portsmouth

Finance for Portsmouth landlords, including HMOs

A large share of Portsmouth's rented housing is shared housing, especially in Southsea, Fratton, Buckland and near the University of Portsmouth. Lending on these properties has its own rules, and the local planning and licensing position matters to lenders:

• Article 4 direction: Portsmouth City Council has a city-wide Article 4 direction. Turning a family house (class C3) into a small HMO (class C4) needs planning permission, and larger HMOs need planning permission too. Lenders and valuers will want to see that an HMO is lawful.
• Licensing: larger HMOs need a mandatory licence. Portsmouth also runs a city-wide additional licensing scheme for smaller shared houses, which the council says runs until August 2028. Lenders may ask to see the licence.

We arrange HMO mortgages, multi-unit freehold block finance, limited-company buy-to-let and portfolio refinancing. Many Portsmouth landlords own several properties, so we look for lenders that are comfortable with portfolios and with how HMOs are valued. Some lenders value an HMO on the rent it brings in, while others value it as a normal house.

Commercial mortgages for Portsmouth businesses and investors

Portsmouth's commercial property is varied:

• shops with flats above along Albert Road, Elm Grove, Fawcett Road and London Road
• offices at Lakeside North Harbour and in the city centre
• trade and industrial units at Hilsea, Farlington and Fitzherbert Road
• hospitality and leisure on the seafront and in Old Portsmouth and Gunwharf

We arrange commercial mortgages to buy or refinance owner-occupied premises and investment property. We also arrange semi-commercial mortgages for the mixed-use parades that are so common in Southsea.

Bridging, refurbishment and development in Portsmouth

Space is tight on Portsea Island, so a lot of local projects are conversions and refurbishments rather than large new-build sites. Examples include a tired terrace turned into a licensed HMO, offices above shops turned into flats, or a small infill scheme off the main roads. A bridging loan can fund the purchase and the works, followed by a refinance onto a longer-term mortgage. Larger schemes may suit development finance, released in stages as the build progresses. Lenders will want to see planning permission, costs, your experience and a clear exit.

Business funding for defence, marine and port supply chains

Portsmouth's economy leans on the naval base, Portsmouth International Port, marine engineering and the many small firms that supply them. These businesses often have to wait to be paid on large contracts, or need to replace vans, tools and machinery. We arrange invoice finance, asset finance and business loans to suit how they trade.

Typical Portsmouth cases

These are examples of the types of case we handle, not real client stories.

• A Southsea landlord refinancing four licensed HMOs into one portfolio facility to release equity for a fifth.
• An investor buying a shop with two flats above on Albert Road with a semi-commercial mortgage.
• A marine engineering firm near the harbour funding a new CNC machine with hire purchase.
• A contractor supplying defence projects using invoice finance to bridge 60 to 90-day payment terms.
• A developer using a refurbishment bridge to convert a vacant upper floor in the city centre into flats, then refinancing once the flats are let.

Areas we cover in and around Portsmouth

Southsea, Fratton, Milton, Eastney, Copnor, North End, Hilsea, Cosham, Drayton, Farlington, Old Portsmouth, Gunwharf and Port Solent. We also cover Havant, Waterlooville, Gosport and Fareham, as well as Southampton and the rest of Hampshire.

Portsmouth FAQs

Can you arrange a mortgage on an HMO in Portsmouth?

Yes, we arrange HMO finance regularly. Lenders will usually want to see that the HMO has the right planning status under Portsmouth's Article 4 direction and the right licence. Valuation methods vary between lenders, so we'll explain how that affects how much you could borrow.

I own several buy-to-lets in Portsmouth. Can I refinance them together?

Often, yes. Some lenders offer portfolio facilities for landlords, especially those holding property in a limited company. We'll look at your whole portfolio, the rents and your plans.

Can I get finance to buy a shop with a flat above in Southsea?

Usually, yes, through a semi-commercial or commercial mortgage. The lease, the condition of the property and whether you'll live there all affect which type of lending applies.

Is HMO or commercial lending regulated?

Most buy-to-let and commercial lending to limited companies and investors is not regulated by the FCA. Lending secured on a property you or a close family member live in can be regulated. We'll confirm which applies before you go ahead.

Do you only work in Portsmouth?

No. We're based in Fareham and work across Hampshire and the South Coast, and with clients across the UK.

Call 02392 000399 · WhatsApp us · Email charles@vantageacf.co.uk · Send an enquiry

Vantage Asset & Commercial Finance Ltd is a credit broker, not a lender. Vantage Asset & Commercial Finance Ltd is an Appointed Representative of The Fiducia Network Ltd, authorised and regulated by the FCA (FRN 917537). Some commercial, business and buy-to-let lending is not regulated by the Financial Conduct Authority. All finance is subject to status, lender criteria and valuation, and the lender makes the final decision.

Your property may be repossessed if you do not keep up repayments on a mortgage or any other debt secured on it.

Registered in England and Wales, company no. 17052739. ICO registration ZC113657.