Holiday let mortgages

Need To Know
  • New savings rates from 1 July 2022

Holiday let mortgages for everyone

Whether you’re a big fan of staycations personally and looking to invest in a high demand area, or simply looking to purchase a property from which you can receive rental income from short-term lettings, we’re here to help.

We offer a range of mortgages specifically designed for properties to be used as a holiday let. We can lend up to 75% loan to value, meaning you would need to put down a deposit of 25% or more on your purchase. Our Holiday let mortgages are available to applicants with any occupation - not just for teachers and education professionals.

PLEASE NOTE: YOUR HOME MAY BE REPOSSESSED IF YOU DO NOT KEEP UP REPAYMENTS ON YOUR MORTGAGE. 

You might be wondering why a teacher specific building society offers holiday let mortgages to borrowers of other professions. It’s a good question. There are two reasons. Firstly, (like all lenders) its our duty to keep both our business and your money safe, and to do that we follow regulator rules around how many of our mortgages are to borrowers with small deposits and how many are to people with much bigger deposits. Offering holiday let mortgages (requiring at least a 25% deposit) balances out the small deposit mortgages we offer to teachers. Secondly, we think having a specialism – like lending to teachers – is a really good thing. So instead of offering our lowest deposit mortgages to the masses, we decided to apply our specialist knowledge to the holiday let market.

We:

• Lend up to £1 million at 75% Loan To Value.

• Calculate lending based on projected average rental income. For remortgages, we use 100% of rental received.

• Offer free property valuations up to £800k.

• Support borrowers who plan to market their home for rent through AirBnB type platforms.

• Allow personal use of the property for up to 2 months per 12 month period.

You’ll need

• A 25% deposit.

• A minimum income of £25,000 or for joint applications a combined income of £40k.

• To have fully repaid the mortgage by the age of 83.

Our current holiday let mortgage rates are listed below – for more information get in contact with our friendly team.

Filter:

Variable rate mortgages

Deposit % Term Initial interest rate Follow on
rate
Overall cost for
comparison
Max LTV Arrangement
fee
Application
fee
25% 2 years 2.99% 5.99%
after 2 years
5.7% APRC 75.0% £0.00 £0.00

Fixed rate mortgages

Deposit % Term Initial interest rate Follow on
rate
Overall cost for
comparison
Max LTV Arrangement
fee
Application
fee
25% 5 years 4.24% 5.99%
after 5 years
5.6% APRC 75.0% £0.00 £199.00

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Please note: Mortgages are secured on your home. You could lose your home if you do not keep up payments on your mortgage. Terms and conditions apply. Mortgages are subject to underwriting and criteria. Please contact us for full details.

Ready to apply?

Arrange an appointment with one of our mortgage advisors