Second home mortgages

How to buy your dream holiday home

Lots of us have dreams of owning a holiday home. A place for weekend breaks, family fun and time to relax.

The number of UK households owning at least one second property has reached 2.4 million and 772,000 of these are holiday homes!

So if you have plans to buy a second home, holiday home or pied-a-terre please read on. We have assisted many clients by arranging second home mortgages to help purchase holiday cottages for a place in the country to escape to!

Why buy a second home?

  • A holiday home that family and friends can use
  • Somewhere near to work to reduce commuting
  • As a property asset that will appreciate in value
  • Additional property needed for separation or divorce
  • For a family member to live in
holiday let mortgages

How to buy a second home

As a homeowner already you will most probably have built up some equity or be fortunate enough to have fully repaid your main mortgage.

Most people will look to borrow money to help purchase their second home and there are a few different ways that this can be achieved.

Getting a mortgage to buy a holiday home is mainly about proving your affordability. If you already have a mortgage then after purchase you will be servicing 2 mortgages and the lenders will need to see that this is possible. Our mortgage advisors can provide guidance with regards to this.

As an experienced whole of market mortgage broker we can assist with all aspects of financing your holiday home.

From capital raising the deposit across one or multiple properties to securing a mortgage for your second home.

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The new lender will want to know:

  • Which of your properties will be your main residence
  • Whether you intend to let out the holiday home
  • The purpose of the second property
  • Where your deposit is coming from
  • How you will afford any additional mortgage payments

Our Guide to Buying a Second Home digs deeper in to the criteria, taxation and location of second homes.

Letting out your second home

Some of the lenders that offer mortgages for holiday homes may permit a small amount of time that the property can be let out for. Most will be happiest if you and your family and friends just use it.

If you intend to let out the property as a way of generating a second income then you most likely need a different type of mortgage:


You will need a buy to let mortgage if you wish to have long term tenants paying rent.


You will need a holiday let mortgage if you intend only offering short term lets to holidaymakers, this will include Airbnb.

Raising the deposit

If you already have the cash then congratulations you can move to the next section!

If not, then we can assist by raising the deposit from other properties you own such as:

  • Main residence
  • Buy to lets
  • Holiday lets
  • Semi-commercial properties
  • Commercial properties

Second Home Mortgage Options

A holiday home mortgage is very similar to the mortgage for your main residence.

You will be able to choose variablefixed and tracker interest rates, depending on the lender. There are quite a few lenders to choose from and as independent brokers we can help select the one for you.

The new loan can be set up for a sensible term as a repayment or interest only.

Deposits tend to be higher than for residential mortgages so budget for 15-20% which equates to a mortgage loan to value of 85%-80%.



There can be quite a bit of planning needed to purchase a second home, particularly if we need to remortgage to raise the deposit, in addition to the actual second home mortgage.

If possible, contact us as early in the buying process as you can. Our brokers will then be able to discuss with you what’s possible and also make some suggestions to enable your plan to come together.

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Kerry, Dawn and the rest of the team were brilliant. So responsive to communication and held our hand right the way through, even with post completion queries that as first buyers we had no clue about. Kerry was completely non-judgmental and just wanted the best for us. Would recommend Kerry and Drake Mortgages to anyone and we will be back for further help in future I'm sure!

Claire Saunders

Best service I've ever had from a mortgage advisor, or any financial advisor for that matter! Always very professional but also practical and personable. Every step of the way, we had help and answers available to us.

Amanda Aldercotte

Really knowledgeable and friendly service. Communication and speed of responses was excellent. Thank you.

Sarah Wise

I have enjoyed the benefits of extending my property portfolio with the advice from Norman Phillips and his team. I always trust their solutions and let them deliver the financial strategies needed.

Nicholas Thompson

I have used Drake Mortgages a number of times over the years. Kerry and Dawn are both highly professional and efficient in the service provided. I have always been pleased with the deals they have been able to source as well as the on hand advice and help available. I would have no hesitation in recommending them.

Alexander Cohen