Commercial mortgage brokers in Edinburgh
1 independent, FCA-authorised adviser covering Edinburgh and the wider Scotland area who handle commercial mortgage cases. Contact them directly — we never sell your details.
Commercial mortgages in Edinburgh: what to know
Commercial mortgages cover premises used for business — shops, offices, industrial units, and mixed-use buildings with a residential element above. Unlike residential lending there is very little standardised pricing: terms are negotiated case by case on the strength of the business, the asset and the covenant. Deposits of 25–40% are typical. For Edinburgh businesses, a broker with genuine commercial lender relationships matters far more than it does on a straightforward residential case.
- Pricing is individually negotiated. Two businesses buying similar units can be quoted materially different rates depending on trading history and sector.
- Lenders will want two to three years of accounts, and usually projections. Newer businesses can still borrow but should expect a larger deposit and possibly personal guarantees.
- Owner-occupier cases (you trade from the property) are generally viewed more favourably than commercial investment where you are letting to a third party.
- Semi-commercial and mixed-use properties fall between residential and commercial criteria, and are a common source of declines when placed with the wrong lender.
What matters locally in Edinburgh
The New Town and much of the central city is Georgian and Victorian tenement flats, frequently listed or in a conservation area, with shared responsibility for common roof and stair repairs. Marchmont, Bruntsfield and Morningside carry heavy demand from professionals and families and a long-established student rental market near the university. Leith and the waterfront mix older tenements with newer apartment developments. Out towards Corstorphine, Blackhall and the south-west, the stock shifts to interwar bungalows and semis. Because so much of the city is flatted tenement property, the state of the common parts and any outstanding shared repair obligations are a routine mortgage issue rather than a rare one.
- Tenement flats with common repair liabilities, listed status or conservation-area constraints, all of which affect valuation and insurance.
- Professional and public-sector incomes from the city's financial, legal and university employers, including bonus and partnership income that lenders treat inconsistently.
When am I committed to the purchase in Edinburgh?
When missives are concluded — the point at which your solicitor and the seller's have agreed all terms in writing. That is generally earlier and firmer than exchange of contracts in England, so you want your mortgage offer, or at least a solid agreement in principle with the lender fully aware of your circumstances, in place well before that stage.
Questions worth asking a commercial broker
- What deposit do I need for a commercial mortgage in Edinburgh?
- Typically 25% to 40% of the purchase price. Owner-occupiers with strong trading accounts sit at the lower end; investment purchases and less established businesses at the higher end.
- How long do commercial mortgage terms run?
- Commonly 15 to 25 years, though shorter terms of five to ten years are frequent for investment cases. Rates are more often variable or linked to a reference rate than fixed for long periods.
- Will I need to give a personal guarantee?
- Frequently, yes — particularly for limited-company borrowing or newer businesses. The guarantee may be capped at a proportion of the loan, and that cap is usually negotiable.
- Can I get a commercial mortgage for a business I am buying?
- Yes, though lenders will underwrite the business you are acquiring as well as the property. Sectors such as hospitality and care are treated as specialist and have a narrower lender pool.