Location: Felixstowe, Suffolk
Loan Amount: £360,000
Finance Category: Residential Mortgage
A client contacted us as we are specialist holiday mortgage brokers.
They were first time landlords and had found an amazing property with seven bedrooms that they wished to purchase and run as a holiday let.
The issues they had was that most lenders they had found either did not do holiday lets or would only lend to applicants who already had experience owning and letting property.
Furthermore, the property had seven bedrooms and many holiday let mortgage lenders max out at six bedrooms.
Due to the fact that our clients were first-time landlords and the property had seven bedrooms, we had to utilise one of the more specialist holiday let mortgage lenders.
The rate was always going to be around 1% higher than the best terms in the market but they were the best terms for our client’s situation.
The lending meant the client could purchase this high yielding property and realise their dream of having a passive income,
The holiday let mortgage lender agreed to lend at 60% loan-to-value and did so on a five-year fixed rate with only two years early repayment charges.
This meant that in two years’ time we would be able to refinance our clients on to a cheaper product as they would then have the experience of being holiday let owners and would no longer be classed as first-time landlords.
Fox Davidson are a specialist holiday let mortgage broker including holiday let mortgages.
We have offices in Bristol, London and across the South West.
Email email@example.com or call us on 0117 989 7950 to discuss your holiday let mortgage options.