Buy to Let Mortgages Holiday Lets

Buy-to-Let Mortgages for Holiday Lets

Certain holiday let properties can be financed using buy-to-let (BTL) mortgage products, provided the property and its use meet lender criteria. This route can offer higher leverage and competitive pricing in the right circumstances.

Loan-to-Value (LTV)

Buy-to-let mortgages used for holiday let purposes are available at up to 80% loan-to-value (LTV) with selected lenders. These products are available across a wide borrower base, including:

• Personal borrowers
• Limited companies (SPVs)
• UK expats

As with all holiday let lending, the highest LTV options are subject to tighter underwriting and strong income projections.

Occupancy Restrictions

Some buy-to-let lenders will accept properties with occupancy restrictions, provided those restrictions are holiday let-related only. Typical acceptable wording may restrict:

• Use to short-term holiday accommodation
• Occupation as a sole or main residence

Restrictions that go beyond holiday use or materially limit marketability may still require specialist holiday let or commercial lending.

Suitability and Underwriting

Buy-to-let holiday let mortgages are most suitable where:

• The property is residential in nature
• Planning use aligns with holiday letting
• There is clear leisure demand
• The restriction (if present) is limited to holiday use only

Affordability is still assessed using holiday let income projections rather than standard AST rental assumptions.