And as holiday homes have been a significant and growing sector of the UK economy, the new product is targeted specifically at holiday letting properties in prime UK tourist locations, in a boost to the post-lockdown tourism economy.
The mutual lender has launched the new holiday product focused on the South Coast, South West, Wales and the Lake District.
Since the recently announced stamp duty holiday, queries from investors wanting to buy holiday lets are reported to be up 25 per cent in some areas and with foreign trips under restrictions, signs for the UK domestic tourism sector are optimistic.
The new product offers a five-year fixed rate at 3.85% for loans up to 75% loan-to-value (LTV) with a maximum loan amount of £1million.
Allan Griffiths, YBS Commercial Mortgages Regional Director is leading on the delivery of the new product. He said: “We know the UK tourism industry has been badly affected by the coronavirus pandemic and subsequent lockdown, but as restrictions ease, staycations are soaring in popularity. We hope that the launch of our new targeted product for this sector-specific need will help to support the tourist industry in these areas.
“Our flexible, personal service model allows us to tailor loans to suit the individual needs of our borrowers. My team and I are looking forward to supporting borrowers with specific plans to invest in properties specifically for holiday letting.”
