Holiday Let Mortgage 2 Year Discount Fee Assist Remortgage

Maximum Loan to Value (LTV) 80% LTV
Initial Variable Interest Rate, currently: 3.44% (2.30% discount from our Standard Variable Rate for 2 years. The discount is subject to a minimum interest rate “floor” of 2.00%)
Followed by our Standard Variable Rate thereafter, currently: 5.74% (The Society’s Standard Variable Rate is set by its Board of Directors)
The Overall Cost for Comparison is: 5.7% APRC
Interest Calculated: Daily

Age
Minimum – 25 years

Term
Minimum – 2 years

Maximum – 40 years

Minimum Loan £80,000 (for properties in the North West this is £56,000)

Maximum Loan £500,000  subject to LTV

 

Available to customers who have properties that have a minimum operating track record of 12 months or for borrowers who have a minimum of 12 months experience of holiday let business. Evidence of confirmed letting history of a least 12 months to be provided by a reputable letting agent. Maximum of 3 mortgaged investment properties (Holiday or Buy to let) in portfolio permitted. Available in England & Wales only, excluding London & the Outer South East and excluding Scotland.

Further Holiday Let lending criteria applies. For full details please contact our experienced underwriters on 01257 235 001 – Option 2 or at intermediaries@chorleybs.co.uk

Applicants must have a minimum gross annual income of £30,000 (single applicants) and £35,000 (joint applications).  Our decision to lend is based on your client(s) meeting minimum income requirements and Income Coverage Ratios (ICRs).

  • Basic rate tax payers – holiday let rental yield must cover 140% of the mortgage interest payment when stress tested at the higher of 5.50% or the mortgage interest rate plus 2.00%.
  • Higher and additional rate tax payers – rental yield must cover 160% of the mortgage interest payment when stress tested at the higher of 5.50% or the mortgage interest rate plus 2.00%.

Cashback – The Society will pay the applicants £500 cashback on completion of the mortgage to support the costs associated with moving their mortgage to the Society.

Application Fee No application fee
Scheme Fee 0.75% of the advance (can be added to the loan, subject to LTV, or paid on completion. Fees added to the loan will accrue interest. Further details are available on application).
Mortgage Exit Administration Fee £75.00 (paid on redemption).
Valuation Fee Paid directly to valuer by the applicant – see Valuation Fee Scale for details.

A standard mortgage valuation is required on all properties.

Procuration Fee A Procuration Fee will be paid to the Introducer by the Society upon completion of the mortgage. Please refer to your mortgage Introducer for details.
Early Repayment Charge 2.30% of the redemption balance for 2 years
Overpayments The Society will allow overpayments of up to 10% of the capital balance per annum without invoking an early repayment charge.
Portability You cannot keep this mortgage should you move to a new property. This mortgage is not portable.
Insurance Landlords insurance on the property to be mortgaged is compulsory.