A look at lenders offering short-term let mortgages 
 
Since the introduction of harsher taxation in 2017, being the landlord of a long-term let has become a lot less tempting. Higher rates of tax and fewer allowable expenses mean that many landlords are seeing lower returns on their rental income, with profits for some wiped out altogether. 
 
As a result, an increasing number of property owners are looking to short-term rental options. Giving landlords the chance to increase their income, short-term lets allow people who own rental property to make the most of their investment. This increase in short-term lets has encouraged a number of lenders to offer landlords specialist mortgages. Keep reading to find out more. 
 
What is a short-term let? 
 
A short-term let can last anywhere from a night or two to six months. Used by tourists who want an alternative to hotel accommodation, as well as people working or studying in a new location for a limited amount of time, short-term lets are available in every corner of the country. As short-term lets offer guests convenience and comfort, landlords are able to charge their tenants a premium. This is especially true if the property is in a particularly desirable location. 
 
Why do you need a short-term let mortgage? 
 
If you’re going to let a rental property on a short-term basis, you need to ensure you have the correct mortgage in place. The majority of lenders won’t allow short-term tenancies on a standard buy-to-let mortgage. This means you need to apply for permission from your lender, or apply for a new mortgage, if you’re going to rent your property out for shorter, more lucrative, periods. 
 
Which lenders offer short-term let mortgages 
 
Over the past few years, there’s been a significant increase in the number of lenders offering short-term let mortgages. These include: 
 
Paragon; 
Principality Building Society; 
Foundation Home Loans; 
Axis Bank; 
Castle Trust; 
Market Harborough; 
Furness Building Society; 
Metro Bank; 
Tipton & Coseley;  
Monmouthshire Building Society; 
Masthaven; 
Teachers Building Society.  
 
We are noticing more and more lenders offering mortgage products to landlords who intend to operate within the short term rental market. To ensure you get the very best rates, we would recommend you get in touch with our recommended partners Your Keys and Protection (click here to visit site). 
 
Managing your rental property 
 
One of the main reasons landlords choose long-term over short-term lets is that they think short-term options are more hassle. And while it’s true that short-term lets see a higher turnover of tenants, they can still be easy to look after if they’re well-managed. Employing a professional management company to arrange check-ins, check-outs, cleaning and maintenance will take the pressure off of your shoulders. It will also ensure that your property, and your guests, are properly looked after. 
 
If you’d like to find out more about the benefits of short-term lets, or if you want to know more about the services we offer, explore our site or get in touch with a member of our team today. 
 
 
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