Tipton & Coseley Building Society has launched a new mortgage product which is explicitly aimed at borrowers looking to short-let their properties.
Potentially changing the buy-to-let market, it is thought that this type of mortgage will appeal to those running holiday lets, as well as Airbnb hosts (and those using similar platforms).
Commenting on the announcement, Cammy Amaira, director of sales and marketing at Tipton & Coseley Building Society, said: “After listening to brokers and the marketplace, we can now accept applicants who wish to let their property over a short term, including AirBnB.
“The changing nature of people’s working circumstances for example, means that some tenants require shorter or more flexible rental periods.
“It therefore makes sense to accommodate landlords who wish to attract shorter term tenancies.”
The new product is available for purchase and remortgage.
As well as accepting applications for second homes and holiday lets, the building society has also introduced additional flexibility on overall income, by taking into consideration holiday let income where there’s a proven track record.
The maximum LTV is 75%. However, the lender will not consider properties where there are occupancy restrictions such as those that often apply to properties in holiday parks.
