3 year discount rate holiday let
Discounted for 3 years
Early Repayment Charges apply.
This product may be withdrawn at any time.
Product key features
Who's the product for?
If you're looking for a mortgage on a holiday home and you're planning to let it out on a short-term let basis, then we can help.
We're one of very few lenders who will accept applicants who want to let their property out via short-term websites such as AirBnB and HomeAway.com
Product related fees
There's an arrangement fee of £999. You can pay this up front by deducting the fee from the mortgage amount or adding it to the amount you borrow.
If you add the fee to your mortgage you'll pay interest on the fee at the same rate as your mortgage.
There is a minimum mortgage amount of £50,000 and a maximum amount of £750,000.
The minimum property value is £75,000 which increases to £250,000 for properties located within the M25 corridor.
The maximum loan to value is 75%.
Interest rate floor
The interest rate is floored and can't fall below 2.74%.
Mortgage repayment terms
Mortgage repayment terms are allowed between 5 years and 35 years.
Early Repayment Charges
You can overpay up to 10% of the original mortgage amount each year.
Any overpayments taking you over this allowance will be subject to the full Early Repayment Charge. The Early Repayment Charge will be:
- 3% of the amount repaid during the first year;
- 2% of the amount repaid during the second year; and
- 1% of the amount repaid during the third year.
Mortgage tariff of charges
The mortgage tariff of charges details the various fees and charges that may apply during the term of your mortgage.
A mortgage of £210,000 payable over 21 years initially on a discounted variable rate for 3 years from inception, currently 2.74% (equal to a 2.50% discount from our SVR) and then our SVR, currently 5.24% for the remaining term would require an initial payment of £1,117.97 followed by 35 monthly payments of £1,102.09 and 216 monthly payments of £1,344.40.
The total amount payable would be £330,706.52 made up of the mortgage amount plus interest (£120,081.52) with an arrangement fee of £999, a mortgage valuation fee of £325, legal fees of £150, a telegraphic transfer fee of £25 and mortgage exit fees of £125.
The overall cost for comparison is 4.6% APRC representative.
We're here to help you...
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YOUR PROPERTY MAY BE REPOSSESSED IF YOU DO NOT KEEP UP REPAYMENTS ON YOUR MORTGAGE.