What is a holiday let mortgage?

What is a holiday let mortgage?

Mortgages offered on a holiday let basis contain clauses specific to the business of holiday letting. So, as an example, their mortgage offers contain a clause disallowing any form of long term letting on an Assured Shorthold Tenancy (AST) basis. So the property can be used as a holiday but cannot be used as a [read more]

Availability of 75% LTV Holiday Let Mortgages increases

If our November and December 2019 mortgage business is an ongoing trend, then holiday let mortgages at 75% LTV are going to be very much in demand during 2020. 75% LTV holiday let mortgages accounted for 92% of all business transactions over this period During the last recession, there was a long period, where the [read more]

How much deposit do I need for a holiday home?

This question is one that we are frequently asked, and the answer very much depends on how the potential borrower intends to use their holiday home. Typically, if the property is a true holiday or second home, that is or will be used only by the owners, their friends and non-paying guests, a minimum of [read more]

Renovation Mortgage: Refurbishment of an unlettable property in Scotland

Bridging finance

Renovation Mortgage Case Study Ben’s Case. We were contacted by an inexperienced developer, that was looking for some finance to purchase an unlettable, renovation property in the Argyll and Bute area of Scotland. The property was a large 9 bed detached property. The purchase price was £600,000 A local NHBC registered builder had already provided [read more]

Secured Loans

Secured loans and homeowner loans

Secured Loans The market for secured loans is growing, as more homeowners opt for improving, rather than moving. There are, however, lots of other reasons why homeowners are using secured loans. It’s not always possible for homeowners to borrow the level of money that they sometimes need unsecured and main or 1st mortgage lenders can [read more]

Buy to Let Property Investment

In the Budget of 2015, the Chancellor, George Osborne, made an announcement that rocked the buy to let property investment market to the core. Tax relief for residential landlords was changing. A Landlord’s ability to claim finance costs against rental income was being reduced in a bid to make buy to let property investment a [read more]

Bridge To Let

Calculators

Bridge To Let In an article that we posted last month, entitled “Refurbishment Finance” the narrative mentioned the recent Buy-To-Let tax changes which are negatively affecting landlords. The changes were announced in the budget of 2015 and implemented through an instrument in UK Tax Law called “Section 24”. The changes have been sensationalised in the [read more]

Refurbishment Finance

refurbishment finance

Renovations, refurbishments and conversions: Finance Options In this article we will look at the finance options available for property refurbishments, restorations and conversions of commercial, semi commercial buy to let (BTL) and Holiday Let property and specifically not for buying property for use as a primary residence which either requires upgrading immediately, or is just [read more]

Current Trends in Development Finance

Having gone through a sticky patch during the financial crash, the availability of development finance has returned. This has come from the traditional banks and from development bridge providers. In the early days of the crash, the traditional banks in all practicality stopped lending on developments and it is only in the last few years [read more]

Buy to Let vs Holiday Let

Holiday let cottage

It is important to understand the differences between these two categories. Just because the both involve letting does not mean that they are similar; in fact the word “let” is possibly the only similarity. The law, taxation and finance for these including much of the underwriting rationale for the finance are quite different Let us [read more]