Mortgage Payment Holiday Will Also Apply to Limited Companies

Landlords who have applied for buy-to-let (BTL) products through limited companies will also be eligible for the three month mortgage holiday announced by the Chancellor last week.

Chancellor of The Exchequer, Rishi Sunak announced last week that people struggling with their finances due to Coronavirus would be able to take a three month mortgage ‘holiday’ which will allow them to start paying again at a later date.

His decision has been hailed as good news for borrowers in financial difficulties. Landlords whose tenants are struggling to pay the rent will be able to defer their mortgage payments, including those landlords that chose to set up as limited companies, rather than sole traders, according to UK Finance. 

In addition to this, both UK Finance and the Building Societies Association have made it clear that all repossession and eviction processes will be put on hold for the next 90 days, meaning that both tenants struggling to pay the rent, and homeowners struggling to pay the mortgage will be able to avoid homelessness for the near future.