Buy-to-Let & Holiday Let Mortgages
What is a Buy-to-Let or Holiday Let Mortgage?
A Buy-to-Let (BTL) mortgage is finance designed for landlords purchasing a property specifically to rent out to long-term tenants. These mortgages are different from residential mortgages, with specific ‘affordability’ criteria based on rental income potential of the property, rather than the proprietor’s personal income or earnings.
A Holiday Let mortgage is for properties rented out on a short-term basis, such as Airbnb or Serviced Accommodation. These mortgages have different affordability assessments to BTL since rental income can fluctuate seasonally.
Who is a BTL or Holiday Let Mortgage For?
➡️ First Time Landlords (FTL) looking to enter into the rental property market.
➡️ Experienced Landlords expanding their property portfolio.
➡️ Property Investors and Professional Landlords looking to leverage finance against their existing rental properties.
➡️ Homeowners looking to convert a property into a BTL or Holiday Let.
➡️ Individuals looking to finance rentals in high-demand holiday areas.
Key Benefits of Working With Burghley FS
✅ Access to a Wide Range of Lenders – Including specialist lenders and products not available directly to borrowers.
✅ Bespoke – Every BTL or Holiday Let loan is structured specifically to suit your unique requirements.
✅ Competitive Rates & Terms – We will negotiate with lenders directly on your behalf to get the best overall product suited to you.
✅ Fast Turnaround – We help secure funding quickly, and will continually communicate with lenders for regular updates.
✅ Independent & Unbiased – Our focus is finding the right finance for you and your Commercial project.
✅ Underwriting Knowledge – With over 10 years experience as an Underwriter, we understand how the lenders view each application.
✅ Full Service – Our service is a complete one; we do the hard work for you, giving you freedom to concentrate on your project.
How Can Burghley FS Help?
As a specialist BTL and Holiday Let mortgage broker, with extensive experience as Underwriters ourselves, we work with a wide range of lenders to navigate intricacies of your circumstances and find the best financing solutions for your rental property investments.
🔹 Bespoke Funding Solutions – Every deal is structured to suit your business goals.
🔹 Access to a wide Lender Network – Including high street banks, private lenders, as well as specialist BTL & Holiday Let finance providers.
🔹 Fast & Efficient Process – We handle all negotiations, paperwork, and lender communication on your behalf to ensure a smooth transaction.
🔹 Independent & Unbiased Advice – We focus solely on finding the best finance for you.
Common Questions
❓“How much deposit do I need for a Buy-to-Let or Holiday Let mortgage?”
For Buy-to-Let, you will typically require a 25% deposit, although some lenders offer mortgages with just a 20% deposit. Holiday let mortgages may require a slightly higher deposit than standard BTL mortgages.
❓“Can I get a Buy-to-Let or Holiday Let mortgage as a First Time Landlord?”
Yes, some lenders offer mortgages to first-time landlords, though criteria may be stricter.
❓“How is affordability assessed?”
Buy-to-Let – Calculated using an Interest Cover Ratio (ICR); rental income typically needs been between 125-145% of the mortgage payments at a stressed interest rate.
Holiday Let – Lenders look at projected annual rental income, often using a mix (or an average) of Low, Mid, and High season estimates.
❓“Can I live in my Buy-to-Let or Holiday Let property?”
Typically you cannot live in a BTL property. Holiday Let mortgages may permit occasional personal use, but most lenders will set limits on this, usually up to a maximum of 14-28 days per year.