Introduction
UK Shariah-compliant home finance provider StrideUp has reduced pricing across its Houses in Multiple Occupation (HMO) and Multi-Unit Freehold Block (MUFB) Buy-to-Let Purchase Plans while increasing the procuration fees available to mortgage intermediaries.
The pricing changes, effective from 1 August 2026, apply to both two-year and five-year fixed rental terms. Brokers submitting cases directly are eligible for a 0.75% procuration fee, while intermediaries placing business through a network or club can receive 0.80%.
The changes come after StrideUp expanded the size of properties eligible for its specialist financing. The company doubled its maximum HMO size to 12 bedrooms and increased its MUFB limit to 10 units, with financing available at up to 75% finance-to-value and a maximum of £2.5 million per property.
StrideUp Expands Specialist Buy-to-Let Criteria
StrideUp’s latest pricing move follows an earlier expansion of its HMO and MUFB criteria.
The provider says its revised limits are intended to accommodate professional landlords operating larger properties and portfolios. The HMO limit has increased to 12 bedrooms, while the maximum number of units within a MUFB has risen to 10.
Financing is available at up to 75% finance-to-value, subject to the applicable product and underwriting criteria. The maximum financing amount is £2.5 million per property.
The expansion is significant because larger HMOs and multi-unit properties can fall outside the criteria of conventional residential Buy-to-Let products, requiring landlords to seek more specialised forms of property finance.
StrideUp director of sales and marketing Rizwan Ali said the changes followed feedback from brokers about the limited number of Shariah-compliant financing options available to professional landlords at this scale.
The company has linked the lower pricing and higher intermediary compensation to the additional complexity associated with specialist property cases.
How the New Broker Fee Structure Works
The temporary procuration-fee arrangement provides different levels of compensation depending on how a broker submits business.
| Distribution route | Procuration fee |
|---|---|
| Direct submission by broker | 0.75% |
| Submission through network or club | 0.80% |
The offer is available to FCA-registered broker partners, including brokers that do not hold Home Purchase Plan permissions, according to the supplied company announcement.
The promotional window runs until 31 August 2026, making the arrangement a short-term distribution incentive rather than a permanent change to intermediary remuneration.
For brokers working on larger HMO and MUFB cases, the fee structure is designed to provide additional compensation for the work involved in arranging specialist property finance.
What the Rate Reduction Means for HMO and MUFB Landlords
The pricing changes affect StrideUp’s HMO and MUFB Buy-to-Let range across two-year and five-year fixed rental terms.
Unlike a conventional mortgage, StrideUp structures its Buy-to-Let products as Purchase Plans designed to comply with Islamic finance principles. The supplied announcement notes that the company’s Buy-to-Let Purchase Plans are not regulated by the Financial Conduct Authority.
The structure is based on Shariah-compliant home finance rather than conventional interest-bearing mortgage lending. This distinction is important when comparing the products with mainstream Buy-to-Let mortgages, because the headline pricing and contractual structure are not necessarily directly comparable.
For landlords seeking Shariah-compliant property finance, the combination of larger property limits and revised pricing broadens the range of cases that may fit StrideUp’s stated criteria.
However, eligibility remains dependent on individual underwriting, property characteristics and the provider’s detailed criteria.
The Role of Brokers in Specialist Property Finance
The higher procuration fee is also a distribution strategy.
HMO and MUFB transactions generally require more detailed assessment than straightforward single-property Buy-to-Let cases. Property configuration, unit structure, rental income and the experience of the landlord can all affect how a case is assessed.
For specialist lenders, brokers can therefore play an important role in identifying suitable cases and navigating the application process.
StrideUp’s offer provides a 0.75% fee for direct submissions and 0.80% for business introduced through a network or club. The supplied announcement describes the higher fee as recognition of the additional work involved in specialist cases.
The company is therefore using both product pricing and intermediary remuneration as part of its distribution strategy.
Shariah-Compliant Finance Remains a Specialist Segment
Islamic home finance represents a relatively specialised part of the UK’s wider property-finance market.
Providers such as Al Rayan Bank and Gatehouse Bank also operate in areas of Islamic residential and property finance, while StrideUp has developed products targeting residential customers and landlords.
The market differs from conventional mortgage lending because Shariah-compliant structures are designed to avoid interest-based transactions. Products can therefore be structured as purchase plans or other forms of asset-based financing rather than conventional loans.
For landlords operating larger HMOs and MUFBs, the availability of suitable Shariah-compliant products can be more limited than the broader Buy-to-Let market.
StrideUp’s decision to raise its property-size limits consequently expands its stated addressable market within this specialist segment.
Larger Property Limits Change the Competitive Position
The increase to 12 HMO bedrooms and 10 MUFB units moves StrideUp’s criteria toward larger professional-landlord cases.
The £2.5 million maximum property financing threshold also places the offering at a scale relevant to landlords with more substantial assets.
This does not mean every property up to those limits will qualify. Maximum property size and maximum finance-to-value are product parameters rather than guarantees of approval.
The distinction is important because specialist property applications can depend on factors beyond headline limits, including property structure, valuation, rental assumptions and borrower circumstances.
Regulatory Considerations
The supplied announcement makes an important distinction between StrideUp’s Buy-to-Let Purchase Plans and regulated mortgage products.
According to the company information provided, its Buy-to-Let Purchase Plans are not regulated by the FCA. This reflects the contractual structure used for the Shariah-compliant product rather than a conventional regulated mortgage.
The announcement also states that the temporary intermediary offer is available to FCA-registered broker partners regardless of whether they hold HPP permissions.
These distinctions mean brokers and landlords need to consider the regulatory status and contractual structure of the specific product rather than treating a Shariah-compliant Purchase Plan as interchangeable with a conventional Buy-to-Let mortgage.
What the Changes Mean for the UK Specialist Property Market
StrideUp’s latest move illustrates how specialist lenders are competing for professional landlords through a combination of product scope, pricing and intermediary distribution.
The expansion of HMO and MUFB limits addresses property sizes that can require more specialised underwriting. The rate reductions address the cost of financing, while the enhanced procuration fee gives brokers an additional commercial incentive to introduce eligible cases.
The three changes are therefore connected: broader criteria can increase the potential pool of borrowers, lower pricing can affect product competitiveness, and higher intermediary remuneration can influence distribution.
The short promotional period also means the enhanced fee is primarily relevant to cases submitted within the stated window.
Risks and Limitations
Headline pricing and broker fees do not provide a complete picture of the economics of a property-finance transaction.
Landlords still need to consider the full structure of the Purchase Plan, applicable rental terms, fees, finance-to-value requirements and property eligibility. The supplied announcement does not provide a complete schedule of the revised rates, so individual products cannot be compared solely from the headline announcement.
The promotional procuration fee is also time-limited. Cases submitted after the stated deadline may therefore be subject to different intermediary remuneration.
In addition, the larger HMO and MUFB limits do not guarantee that every property within those limits will qualify. Individual applications remain subject to the provider’s criteria and assessment.
Outlook for Shariah-Compliant Buy-to-Let Finance
StrideUp’s expansion reflects continued product development within the UK’s specialist Islamic property-finance market.
Increasing the maximum HMO and MUFB sizes allows the provider to address larger professional-landlord cases, while the revised pricing and temporary broker incentive target two important parts of the distribution chain.
The longer-term significance will depend on how lenders continue to develop Shariah-compliant products for increasingly complex property structures and how intermediaries respond to changes in pricing and remuneration.
For now, the announcement represents a targeted adjustment to StrideUp’s specialist Buy-to-Let proposition, combining wider property criteria with revised pricing and a temporary increase in broker compensation.
Conclusion
StrideUp has combined lower rates across its HMO and MUFB Buy-to-Let range with an enhanced procuration-fee structure for brokers. The changes follow an expansion of its specialist criteria to properties of up to 12 HMO bedrooms and 10 MUFB units, with financing available at up to 75% finance-to-value and £2.5 million per property.
The strategy gives professional landlords access to a broader stated property range while giving intermediaries higher compensation during the promotional period. The products remain distinct from conventional mortgages because they are structured as Shariah-compliant Purchase Plans, and their regulatory treatment differs from standard FCA-regulated mortgage lending.
