Expat Holiday Let with Airbnb Income.
The Borrowers.
- Self-employed expat couple living in Switzerland
- Looking to purchase a holiday property in Cornwall
- Wanted a property they could enjoy when visiting family in the UK, while also generating income when abroad
- Deposit sourced from: Investments held in the UK, Savings held in Switzerland
The Challenge.
- The applicants were self-employed and resident outside the UK
- They wanted a property close to family that would also support their long-term retirement planning
- Initially considered purchasing: A traditional Buy to Let investment property, and a separate UK base for personal use
The Solution.
A holiday let mortgage provided the flexibility the applicants needed, combining personal use and investment potential in a single property
We were able to offer an 80% LTV mortgage on a holiday cottage in Cornwall, allowing the borrowers to use the property for personal stays of up to 60 days per year.
To assess affordability, we used projected holiday let income based on:
- Low, medium and high occupancy scenarios
- Rental income over a 30-week letting period
- Our 125% stress test, which was available because the applicants were not UK higher-rate taxpayers
The borrowers were also able to generate income through short-term letting platforms such as Airbnb, giving them flexibility to maximise occupancy when they were not using the property themselves.
Outcome.
✅ 80% LTV holiday let mortgage achieved
✅ Property available for personal use and investment purposes
✅ Airbnb and short-term letting income accepted
✅ UK and overseas deposit sources accommodated
✅ Self-employed expat applicants supported
✅ One property met both lifestyle and long-term investment objectives