- Holiday Lets
- Holiday Homes
- Letting & Personal Use
- To 85% Loan to Value
- Common Sense Underwriting
- No maximum age for residential & buy to let mortgages Lenders
- Historic Credit Issues Considered
- No Credit Scoring Application for Some Lenders
Holiday Let & Holiday Home Mortgages
Recent changes to tax rules for second properties which, in the main, affect buy to let properties, have prompted some of our clients to look at the possibility of holiday letting and we are often contacted by customers looking to arrange a holiday let mortgage – often called a buy to holiday let mortgage. Sometimes customers also wish to use the holiday let property as a their own personal holiday home from time to time.
Customers looking to arrange a mortgage on a holiday let property typically tell us that they are looking to do this as the rental yields are often higher than standard buy to lets. The work required to manage holiday let cottages and apartments is generally more intense than a standard buy to let property and the property cannot then be used as a personal residence. However, clients looking to arrange a holiday let mortgage often tell us they are comfortable with the additional workload, given the higher rental income and tax efficiencies of holiday letting.
We are contacted by clients looking to arrange holiday let mortgages in a variety of situations such as:Read More >>
- They have been declined by a buy to let lender they have applied to, as they wish to holiday let the property and do not intend to let the property on an assured shorthold tenancy (AST) agreement
- They are finding it difficult to obtain a mortgage as they wish to purchase outside the traditional holiday letting areas of Devon, Cornwall, Cotswolds, Peak District, Lake District, Coastal towns etc.
- Purchasing a new holiday let property as an investment
- First time buyers wishing to purchase their first property as a holiday let
- Clients aged over 60 wishing to purchase a holiday let property using cash from their pension
- Remortgaging an existing holiday let property to release cash for home improvements, debt consolidation, school fees and other expenses
- They live or work overseas – and are classed as expatriates
- They have been declined on credit score or for adverse credit by a high-street bank for a holiday let mortgage
- They wish to extending the length of their current holiday let mortgage which may soon be coming to an end
At RockHopper we can look to assist clients looking to arrange a holiday let mortgage either on an interest only or capital repayment basis. The minimum deposit or equity required is 15% of the value of the property if you are planning to use the property as a holiday home & holiday let. If you are planning to use the property as purely a holiday let the minimum deposit required is 25% of the property value.
We appreciate everyone’s particular situation is unique, which is why we look at every enquiry on a case by case basis.
If you would like to see whether we can help you raise a holiday let mortgage on a property, do get in touch for a free no obligation quotation.