Holiday Let Mortgages

Speak to a broker

Holiday Let Mortgages

your holiday let mortgage broker
Speak to a broker

We are experienced whole of market brokers who can help you get a great holiday let mortgage.

We can also give you access to exclusive schemes and some specialist lenders who don’t deal direct with borrowers. Loans are available to individuals and SPV’s upto 75% and we can help with Scottish properties, mixed use, multi-lets and Airbnb.

Our mortgage advisers know the lenders and their lending criteria well, enabling us to guide you to the best holiday let mortgage solutions.

An increasing number of investors are looking at buying holiday homes in UK holiday hotspots to gain a slice of this growing trend.

Holiday lets can generate a good additional income and they have special tax advantages providing they qualify as Furnished Holiday Lets.


Since 2006 Drake Mortgages has been the UK’s leading specialist broker for holiday home finance.


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Holiday let mortgage


We can source mortgages upto 75% loan to value for purchases. The available mortgage is based upon the purchase price/valuation and also the potential rental income.


Holiday let remortgages are quite straightforward with loans available upto 75% LTV. Our advisers and support team will assist with the paperwork and ongoing work.


If you wish to develop a property into a holiday let then we can help. This type of finance is generally needed where the property cannot be used and let out immediately.

Let’s chat

Call 020 8301 7930

Saturday & evening service

Please call 07587 093206 to speak with a broker.

How can we help you?

Holiday let mortgages are not a new concept, we have specialised in them since 2006. But they are extremely popular at the moment and most people will be aware that you can own and rent a furnished house or flat to holidaymakers.

Even though the mortgage market is well established there are quite a few lenders that only deal with brokers and not direct with the public. And holiday lets have a unique status as they are a residential property that you let out (like a buy to let) and you can also use it yourself for personal holidays (like a holiday home).

Our mortgage brokers are all highly experienced in this sector and we frequently work with lenders to look at the lending market and see what product improvements are possible.

Here’s what we can do:

  • Source 75% LTV mortgages
  • Provide impartial, independent whole of market mortgage advice
  • Give access to exclusive schemes not widely available to others
  • Include options from broker only and specialist lenders
  • Provide solutions for unusual and mixed use properties
  • Make suggestions regarding splitting titles and developments
  • Help where properties are affected by the six month rule
  • Talk directly to lenders about your holiday let project
  • Deal with holiday let remortgages and product transfers
  • Provide holiday park finance to site owners
  • Offer an efficient advice process over the phone and email
  • Full administration of your mortgage application

Where to now…?

What is a Holiday Let Mortgage?

A holiday let mortgage will allow you to purchase or remortgage a UK property and then let it out as a holiday let to paying guests. It could be used as a holiday let or airbnb but cannot be used for tenants to live in long term.

We explain how much you can borrow, the repayment options and basic lending criteria.

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What is a Furnished Holiday Let?

When let out a Furnished Holiday Let (FHL) provides an income which exceeds what would be possible from an equivalent buy to let. There’s the opportunity for you to enjoy holidays there while the letting income pays for the running and upkeep.

We show you how to qualify for Furnished Holiday Let status.

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Holiday Let Mortgage Criteria

The criteria that lenders impose for holiday lets is different to other mortgage types. It sits alongside buy to lets in basic principles but the lending market is smaller and the selection more individual.

All you need to know about the holiday let mortgage lending criteria.

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Holiday Let Mortgage Deposits

How much deposit do I need for a holiday cottage mortgage? Typically around 15-25% depending on how the property will be occupied.

Where your deposit has come from is as important as how large it is, find out why.

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Furnished Holiday Let Tax

HMRC has a special set of tax rules for Furnished Holiday Lets. We have a section that explains how your property can qualify as an FHL but here we dive in to the taxation aspects.

Our guide aims to give an overview of these tax rules which can provide substantial financial benefits for UK holiday home owners.

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Are mortgages available for Airbnb holiday accommodation? How easy is it to get an Airbnb mortgage.?

Now well established across the world Airbnb has dramatically changed the short term letting industry.

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Limited Company Mortgages

Are holiday let mortgages available for Limited Companies?

Limited Companies and Special Purpose Vehicles (SPV) are able to own a holiday let property with a mortgage.

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Mixed Use and Multi-Unit

There’s no set structure for these but often the situations include multiple units, outbuildings, annexes, flats and an owner that wishes to live on site.

We can arrange mortgages upto 75% loan to value (LTV) for purchase or refinance.

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We can provide a full whole of market remortgage service for your holiday cottage, or potential holiday let.

Our expert brokers have access to all of the holiday let mortgage lenders, including specialist & commercial lenders and our own exclusive schemes.

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Frequently Asked Questions

Holiday let mortgages sit in a unique position. They are very similar to buy to let mortgages but not quite the same. This poses lots of questions.

On this page we list just some of our frequently asked questions concerning holiday letting.

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Property Guide

Will your idea of the perfect holiday let cottage and location fit the lender’s rules for this type of mortgage? Each lender has their own lending rules that explain what is and what is not acceptable security for the holiday let property type, condition and location.

A holiday home is a very desirable asset to own but one which is to be let out as a way of financing the running costs is assessed differently.

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Holiday Let Insurance

Ordinary home insurance is not enough to ensure your holiday let is properly covered. So choosing a specialised holiday let insurance policy is vital to protect it from risks such as burglary and accidental damage.

There are many other reasons why you should choose the right insurance product for your holiday home.

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Holiday Park Finance

We have a range of holiday park finance solutions that can help you expand your business and make the most of the increased demand for UK holidays.

Commercial finance suitable for freehold holiday parks. Funds available for site owners to purchase, develop, refurb, refinance and expand.

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Development Finance

The concept of property development for holiday let has gained significant traction in recent years. With the rise of platforms like Airbnb, the UK holiday let market has become a lucrative investment opportunity.

This guide aims to provide a comprehensive resource on property development for UK holiday let, highlighting its benefits, the process involved, financing options, and much more.

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Simply call us on 020 8301 7930 to speak with an expert mortgage broker.


Holiday let projects comprising of mixed use and multi-units are very interesting to work on and are not easily accepted by the mainstream lenders.

Fortunately, we have a lot of experience assisting clients with them.

There’s no set structure for these but often the situations include multiple units, outbuildings, annexes, flats and an owner that wishes to live on site.

Tell me more about mixed use and multi-unit mortgages.


Holiday cottage mortgages are more difficult to arrange than normal residential mortgages and are also very different from standard buy to let mortgage schemes. In fact you cannot use a buy to let mortgage on a house used for short term holiday lettings. The main reasons are that there is no AST and the holiday rental income cannot be calculated using normal criteria. You will also find some holiday let properties have a usage restriction at the Local Authority.

However, as a specialist independent mortgage broker we are able to arrange finance at competitive terms with the morgage based on the holiday property’s rental income. We also have a number of exclusive mortgage products available upto 75% LTV (loan to value). Our in depth knowledge will guide you through the lending criteria and best interest rates from the UK’s specialist lenders in this market.

Mortgages for limited companies and SPV’s are available.

We can help with unusual properties including multi lets, mixed use and Airbnb.

Holiday lettings is recognised as a business (generating earned income) by the Inland Revenue, unlike other forms of letting (such as buy to let) which the Inland Revenue class as investment income (unearned income). There are some valuable tax incentives for letting your property as a holiday home, but there are some specific Inland Revenue rules which you must follow to qualify.

By using an experienced mortgage broker you will gain access to lots of mortgage choices, help and advice, and the ability to secure finance for all property types including mixed use, multi lets, restricted use and Airbnb.

If you would like to discuss holiday cottage mortgages or holiday home mortgages then please call us on 020 8301 7930 or complete our online enquiry form.

Speak to an expert about HOLIDAY LET mortgages

We have been helping clients with their holiday lets since 2006 and our brokers have the widest possible experience in this sector. A holiday let mortgage will allow you to purchase a property that will be let out to paying holidaymakers, whilst also allowing you to personally use it as a holiday home each year.

Every one of our clients has a unique need and our brokers love a challenge. So, even if your situation is not ‘the norm’, we can usually help.

Call 020 8301 7930 to start your journey with us.