Precise Mortgages has launched into the holiday buy-to-let market and enhanced criteria for its multi-unit range.
The specialist lender decided to make the move in response to growing demand from brokers supporting professional landlords.
Syndicated research carried out during the second quarter of this year for the specialist lender by BDRC reveals that almost one in 10 - 9% - landlords with more than 20 properties owns holiday lets in the UK with a further 9% owning holiday lets abroad.
The landlord’ survey identified holiday lets as the second most popular property type to own in addition to residential portfolios.
Precise will consider mortgage applications on houses and flats currently utilised as holiday lets providing there are no planning or occupancy restrictions.
Experienced individual and limited company landlords wanting to invest in a holiday let can choose from Precise Mortgages’ core buy-to-let range with rates starting from 2.77% and borrow up to £500,000 to a maximum 70% loan-to-value (LTV) or opt for a bridging finance loan.
The specialist lender will also now allow experienced individual and limited company landlords investing in multi-unit opportunities to own up to six self-contained units under a single freehold and borrow up to £750,000 at 75% LTV and up to £1m at 70% LTV.
Alan Cleary, managing director of Precise Mortgages, commented: “The UK is proving increasingly popular among both British and overseas tourists which is generating attractive rental returns for holiday lets.
The new criteria across the buy-to-let mortgage and bridging finance ranges will help more customers secure the product they need.”