Commercial mortgage on owner-occupied dwelling

A commercial mortgage on an owner-occupied dwelling is a financing arrangement where an entrepreneur or investor acquires and finances a residential property, but the legal title is registered under a business structure such as a limited company, rather than in personal name.

This structure is typically employed for tax efficiency (deduction of interest expenses against corporate taxation), asset separation between personal and business holdings, or strategic investment structuring. The mortgage is secured against the company's property ownership, not against the individual's personal assets.

This arrangement differs from a standard personal residential mortgage; it involves distinct risk assessment by lenders, potentially different interest rates, and compliance with commercial real estate regulations and company law provisions.