Mixed use Holiday let Mortgage

Mixed-Use Holiday Let Mortgage

A mixed-use holiday let mortgage is designed for properties that combine holiday let accommodation with commercial elements, or where part of the property is used for a different purpose alongside short-term letting. These mortgages sit between standard holiday let and full commercial lending and are arranged through commercial buy-to-let lenders or commercial mortgage lenders.

Loan-to-Value (LTV)

Mixed-use holiday let mortgages are typically available at up to 75% loan-to-value (LTV). This reflects the additional complexity and risk associated with mixed-use assets compared to single-use residential properties.

Experience and Borrower Criteria

Lenders are generally pragmatic in this space:

• No prior experience is required where the property comprises fewer than four holiday let units
• First-time buyers (FTBs) may be accepted on larger schemes, provided they can demonstrate a minimum personal income of £50,000

Applications are assessed on the overall strength of the property and income profile, rather than experience alone.

Suitable Property Types

Mixed-use holiday let mortgages are suitable for a wide range of scenarios, including:

• A holiday let flat above a commercial unit (shop, café, or office)
• Properties with integrated commercial elements
• Small mixed-use holiday let schemes

These property types typically fall outside standard buy-to-let or residential holiday let criteria.

Lending Route

Finance is arranged through:

• Commercial buy-to-let mortgage lenders, or
• Commercial mortgage lenders

Valuations and underwriting will reflect both the residential holiday let income and the commercial component.