What is a multi-unit freehold?

A multi-unit freehold block, also known as a MUFB, is separate, independent, or multiple residential units held within one title. Therefore, no single unit is subject to a lease. Common examples include houses that have gotten converted into a block of flats or purpose-built flats.

Can you get a mortgage on a freehold property?

You can only get a mortgage on a freehold property with certain lenders. Not every lender will off you a mortgage on a freehold flat. If you do find a lender who is, expect to pass their criteria assessments, as you would for any other type of property.

How do I apply for a multi-unit freehold mortgage?

If you feel a MUFB would suit your particular requirements, we have listed several leading lenders for you to check out below.

What are the Benefits of a MUFB?

There are many reasons why you may consider taking out a MUFB. For starters, the demand for affordable rental properties has never been higher. Therefore, that would suggest there has never been a better time to get a MUFB for any portfolio landlords.

Various types of tenants are interested in MUFB properties, including young professionals, couples, families, or students, depending on what their circumstances may be.

MUFB mortgages are available in two forms, either as interest and capital repayment or on an interest-only basis, and can be provided by a specialist lender.

Where can I get a MUFB from?

When it comes to getting a MUFB for your flats, combined terraced houses, or rental properties, there are several different mortgage options on offer from lenders. Some will offer better rates on a certain property type, while others will offer other benefits on multi-unit freehold block mortgages.