Teachers Building Society has announced that it has launched a new 2 year discounted variable rate mortgage specially designed for properties in the holiday let sector.
According to the lender, the mortgage, which is available in England and Wales is for properties up to 75% LTV, is available for purchase and remortgage. The new product will have a maximum loan size of £750k and a maximum term of 40 years. There is an interest only option available with sale of property as the repayment vehicle.
• Purchase- average of low/medium/high x 30 weeks
• Remortgage – 100% of evidenced rental receipts in a 12 month period used
• Rental Coverage assessed at 135%
Mark Stallard from House and Holiday Home Mortgages, said: “It’s great to see another lender coming into the holiday let lending space. Teachers has a good reputation for helping borrowers in niche areas. There is an ever-growing demand for holiday let borrowing and having Teachers Building Society as a lender is an excellent addition to my panel of specialist lenders.”
Andy Yates, Business Development Manager at Teachers Building Society, said: “We’re pleased to be one of only a handful of lenders to offer specially designed mortgages for properties to be used as holiday homes. This new holiday let mortgage is just one addition to changes we have made over the last year or so, including opening up our lending to applicants of any profession, updating our lending criteria to include new income types, such as the ability to use 100% of NHS / Police allowances and overtime, clarification as to when stipend income is accepted and new criteria for bank nurses and locums.”