Considering Changing the use of our Property from Long Term Let to Holiday Let in 2026

homebysea

What is the best approach regarding our mortgage to be advice independently about it?

homebysea

... we are a few years close to paying off our mortgage, BTW.

Thank you in advance, everyone!

theartfullodger

What does YOUR mortgage lender say?  Surprisingly different lenders, different approaches and rules.

Do you think you will make as much profit with holiday let, and why?  Got the support and staff ready to sort hand overs between different holiday let's?  What about over winter?  What did insurers say about the change.

How close are you to the property? Can drop everything and pop over to sort issues?

What experience do you have of holiday lets?

Good luck.........

mlz1413

It is a 'how long is a piece of string' question. 

What enquiries have you already made?

Is your mortgage 95% or 25%. Interest Only or Repayment. 
Is it 5 years from being paid off or 1 year.
Your age will affect any borrowing. 
Your income will probably affect it too, as lenders will want assurance you can pay if the let is empty.

Do you think you will get more rent or do you want the flexibility to use the property. 

Artfullodger makes many good points.
Do you have plans for how the let is cleaned between tenants? If it yourself,  what happens if you are ill?

homebysea

Hi!
My answers to your questions:

It is nearly three years more of mortgage payments.
Interest only and been doing lump payments every year.
Business plan is robust.

The house is small corttage one street from seaside. It is our only home, we have been living abroad and returning to the UK in 6 months. House too small as we now have a kid. So the idea is to rent nearby. 
I will be employed part-time and part-time in charge of the rental.
10 years of Holiday Let experience where we currently are.

Question is: to approach an independent mortgage adviser, or our mortgage lender?

silvercar

Ask your mortgage lender on a no name basis ie you are asking their general policy without identifying yourself. Then you can make a decision.

mlz1413

Why can't you do both?

homebysea

It is impossible to ask Lloyds anything without giving our details. Do you think it is against the best possible outcome, to ask the question straight out?
Perhaps independent advisor is the answer, then. Thank you guys

homebysea

mlz1413 if it makes no difference, that's my answer then. 

mlz1413

I don't think you would be penalised for asking the question. 
Only if you went ahead without permission.

I would also assume you would need to compare the market.
A new product may have fees that make it unworthwhile.
A new product may have a much better rate.