Category Archives: Holiday let mortgages

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]

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]