Shariah-Compliant UK Buy-to-Let Bank Reduces Rental Rates on 5-Year Plans

UK buy-to-let investors seeking Shariah-compliant finance have received a timely boost, as Gatehouse Bank has announced a reduction in rental rates across its full range of five-year fixed Buy-to-Let purchase plans.

The revised pricing applies to UK expats and international residents, reinforcing the growing appeal of the UK property market for global investors who want to align their investments with Islamic finance principles.

What Makes This Different? Shariah-Compliant Buy-to-Let Explained

As a fully Shariah-compliant bank, Gatehouse Bank does not charge interest or offer conventional mortgages. Instead, it provides property purchase plans based on shared ownership structures, where customers pay a rental rate rather than interest.

This structure supports Shariah-compliant finance by offering:

• No interest (riba)
• Asset-backed financing
• Ethical and transparent investment structures

These features make the model particularly attractive to investors from the GCC and wider international markets seeking compliant buy-to-let investment options in the UK.

Reduced Rental Rates Across Key Buy-to-Let Products

Following the latest reduction:

• Rental rates now start from 5.88% for UK expats
  

• 5.89% for international residents

  
  
  

The updated pricing applies across a wide range of buy-to-let investment products, including:

• Standard five-year fixed Buy-to-Let plans
• Green Buy-to-Let products
  
  
• Finance for HMOs (Houses in Multiple Occupation)
  
  
• Multi-Unit Freehold Blocks (MUFBs)
  
  

Gatehouse Bank also accepts applications from:

• Individual investors
• UK-registered SPV Limited Companies, a popular structure for portfolio investors
  
  

Green Finance Incentives for Energy-Efficient Buy-to-Let Properties

Investors purchasing or refinancing properties with an EPC rating of A or B can benefit from green finance incentives, including::

• A reduced rental rate  through Gatehouse Bank’s green home finance range
• Carbon offsetting for the average UK property’s emissions during the initial fixed term

These green finance incentives support investors looking to build more sustainable, future-ready buy-to-let portfolios, while remaining aligned with ethical and Shariah-compliant finance principles.

What This Means for UK Property Investors

The rate reduction strengthens the case for:

• Shariah-compliant UK buy-to-let investment
  
  
• Long-term, fixed-rate certainty in a changing market
• Ethical, asset-backed property finance
• Access to specialist lending for complex assets such as HMOs and MUFBs

For international investors seeking Shariah-compliant finance, these updated rates present a clear opportunity to enter or expand within the UK rental market.

How Magnate Assets Can Help

At Magnate Assets, we work closely with Shariah-compliant lenders and specialist brokers to help investors:

• Identify suitable UK buy-to-let opportunities
  
  
• Structure purchases in line with Islamic finance principles
  
  
• Access competitive Shariah-compliant lending solutions
  
  
• Maximise long-term rental income and capital growth
  
  

If you would like to explore Shariah-compliant buy-to-let opportunities in the UK, or understand how these new rates could apply to your investment strategy, our team would be happy to help.