Letting properties out to holidaymakers is now easier than ever thanks to Airbnb.\r\n\r\nIf you\u2019re looking to tap into this property rental market, you may be wondering what type of mortgage is most suitable in these circumstances, and what factors could impact your chances of financing your Airbnb property.\r\n\r\nIn this article, we\u2019ll be covering the following::\r\n<ul>\r\n \t<li><a href="#get">Can I get a mortgage for an Airbnb property?<\/a><\/li>\r\n \t<li><a href="#type">What type of mortgages are available for Airbnb properties?<\/a>\r\n<ul>\r\n \t<li><a href="#residential">Can I be an Airbnb host if I have a residential mortgage?<\/a><\/li>\r\n \t<li><a href="#btl">Do you need a buy to let mortgage for Airbnb properties?<\/a><\/li>\r\n \t<li><a href="#commercial">Can I be an Airbnb host if I have a commercial mortgage?<\/a><\/li>\r\n \t<li><a href="#holiday-let">Can I use a holiday let mortgage for an Airbnb property?<\/a><\/li>\r\n<\/ul>\r\n<\/li>\r\n \t<li><a href="#existing">How does Airbnb affect my existing mortgage?<\/a><\/li>\r\n \t<li><a href="#rental">Can I use Airbnb rental income to pay off my mortgage?<\/a><\/li>\r\n \t<li><a href="#lenders">Which mortgage lenders allow Airbnb properties?\u00a0<\/a><\/li>\r\n \t<li><a href="#rates">How to get the best Airbnb mortgage rates<\/a><\/li>\r\n \t<li><a href="#faq">Frequently asked questions<\/a><\/li>\r\n \t<li><a href="#advice">Get the right advice for Airbnb mortgages<\/a><\/li>\r\n<\/ul>\r\nIf you\u2019d like to know more about mortgages for Airbnb properties, make an enquiry. We\u2019ll match you with a <a href="https:\/\/www.onlinemortgageadvisor.co.uk\/buy-to-let-mortgages\/buy-to-let-brokers\/">buy to let broker<\/a> who can help for free!\r\n\r\n[feefo-banner]\r\n<h2 id="get">Can I get a mortgage for an Airbnb property?<\/h2>\r\nIn principle yes, it\u2019s possible to <a href="#type">secure a mortgage<\/a> if you would like to become an Airbnb host in the UK.\r\n\r\nHowever, there are some important points that you should consider from the outset, such as:\r\n<ul>\r\n \t<li>Are you looking to make your entire house available to rent or just particular rooms?<\/li>\r\n \t<li>If you already have a mortgage with an existing lender, do you need their \u2018consent to let\u2019 before becoming an Airbnb host?<\/li>\r\n \t<li>For how long during a calendar year will your property be available to rent on the Airbnb platform?<\/li>\r\n<\/ul>\r\nThere are different rules for Airbnb hosts depending on the <a href="https:\/\/www.onlinemortgageadvisor.co.uk\/mortgage-application\/complete-guide-to-mortgages\/">type of mortgage<\/a> you require and which provider you approach for borrowing.\r\n\r\nAll of these points may vary from lender to lender as outlined in the sections below.\r\n<h2 id="type">What type of mortgages are available for Airbnb properties?<\/h2>\r\nThe type of mortgage you can use on Airbnb properties largely depends upon your intentions as a host.\r\n<h3 id="residential">Can I be an Airbnb host if I have a residential mortgage?<\/h3>\r\nYes, it\u2019s certainly possible. In the first instance, you should inform your existing lender, as most residential mortgage providers do not allow Airbnb-type lettings without giving prior consent.\r\n\r\nIf you want to rent out your entire property on Airbnb, most lenders may consider this a breach of the original mortgage rules.\r\n\r\nThis is because residential mortgages are designed for homes meant to be used as your primary UK residence rather than for making money from.\r\n\r\nYou may even be required to <a href="https:\/\/www.onlinemortgageadvisor.co.uk\/buy-to-let-mortgages\/changing-mortgages-to-buy-to-let\/">change your residential mortgage<\/a> to a buy to let one if you plan to rent your entire property out, though you may want to talk to an expert before making a big financial decision.\r\n\r\nHowever, if your intention is only to rent out one of the rooms in your house on the Airbnb platform, most lenders would consider this similar to taking in a lodger and would likely allow it as the owner would still be in the property.\r\n<h3 id="btl">Do you need a buy to let mortgage for Airbnb properties?<\/h3>\r\nIf you\u2019re looking to buy a property with the sole intention of renting it out, whether on Airbnb or not, a <a href="https:\/\/www.onlinemortgageadvisor.co.uk\/buy-to-let-mortgages\/">buy to let mortgage (BTL)<\/a> is usually the most appropriate form of lending for this purpose.\r\n\r\nMost lenders will consider Airbnb-type lettings on buy to let mortgages with a restriction placed on the duration the property is available for rent during a calendar year.\r\n\r\nSome may allow up to 90 days, and a few will allow up to 16 weeks or even six months.\r\n\r\nFor more information about buy to let mortgages for Airbnb properties, <a href="https:\/\/enquiries.onlinemortgageadvisor.co.uk\/match-me-with-a-buy-to-let-specialist\/" target="_blank" rel="noreferrer noopener" aria-label=" (opens in a new tab)">make an enquiry<\/a> so we can introduce you to the right broker.\r\n<h3 id="commercial">Can I be an Airbnb host if I have a commercial mortgage?<\/h3>\r\nAs the name suggests, the main purpose of <a href="https:\/\/www.onlinemortgageadvisor.co.uk\/commercial-mortgages\/">commercial mortgages<\/a> is to provide borrowing on commercial premises for day-to-day business activity.\u00a0 In this regard, they are only viable for Airbnb hosts in very specific circumstances.\r\n\r\nFor professional landlords with <a href="https:\/\/www.onlinemortgageadvisor.co.uk\/buy-to-let-mortgages\/buy-to-let-portfolio-mortgages-uk\/">large portfolios<\/a>, it\u2019s possible that a provider may consider a commercial mortgage for an Airbnb property, depending on the strength of the application.\r\n<h3 id="holiday-let">Can I use a holiday let mortgage for an Airbnb property in the UK?<\/h3>\r\nYes, it\u2019s certainly possible. In fact, <a href="https:\/\/www.onlinemortgageadvisor.co.uk\/buy-to-let-mortgages\/holiday-lets\/">holiday let mortgages<\/a> are regarded by some lenders as the most appropriate form of lending for Airbnb-type lettings as they\u2019re usually rented out on a short-term basis.\r\n\r\nMost new holiday let-type mortgages are now being launched with Airbnb hosts in mind.\r\n\r\nIf you\u2019d like to know more about what type of mortgages would best suit an Airbnb property, get in touch and we can arrange for a specialist to discuss this with you in more detail.\r\n<h2 id="existing">How does Airbnb affect my existing mortgage?<\/h2>\r\nAs outlined in the <a href="#residential">section above<\/a>, if you have an existing residential mortgage, you must inform your lender if you decide to use your house as an Airbnb host. You may be required to prove that your original intention was to live in the property rather than rent it out.\r\n\r\nMost lenders will charge an arrangement fee to provide a \u2018consent to let\u2019.\r\n\r\nIn addition, they could also raise the interest rate to take account of this change.\r\n\r\nIf the entire property is made available on the Airbnb platform, this could result in a breach of the mortgage contract terms and conditions.\r\n\r\nIn such circumstances, the lender may ask for the loan to be repaid in full.\r\n<h2 id="rental">Can I use Airbnb rental income to pay off my mortgage?<\/h2>\r\nYes, it\u2019s possible. The key aspect of using Airbnb <a href="https:\/\/www.onlinemortgageadvisor.co.uk\/income-types\/residential-mortgage-using-rental-income\/">rental income to pay off your mortgage<\/a>\u00a0is being able to provide sufficient evidence that will prove the level of income can adequately cover what is required.\r\n\r\nMost lenders will want to see a track record of payments over three years; some may require two years, and a few may accept less than twelve months. For Airbnb hosts, lenders may pay closer scrutiny to the amount of income expected as rentals are typically on a short-term basis.\r\n\r\nTherefore, they may seek evidence of other income (for example salary, pension and investments) to be sure the mortgage payments are covered.\r\n<h2 id="lenders">Which mortgage lenders allow Airbnb properties?<\/h2>\r\nThe number of mortgage providers who now provide financial support for Airbnb properties is certainly growing as the popularity of the platform continues to blossom across the UK.\r\n\r\nAt the time of writing, the latest figures suggest that there are over 223,000 UK Airbnb listings).\r\n\r\nThe terms and types of lending available will vary from lender to lender, which is why most people use the services of an independent advisor to help them search the market.\r\n\r\nIf you\u2019d like to know which lenders can offer the most competitive deals for Airbnb hosts, make an enquiry.\r\n<h2 id="rates">How to get the best Airbnb mortgage rates<\/h2>\r\nTo secure the best rates for an Airbnb mortgage, it\u2019s important to be able to show strong evidence of <a href="https:\/\/www.onlinemortgageadvisor.co.uk\/mortgage-affordability\/">affordability<\/a>.\r\n\r\nThe track record of rental income from your property will also be crucial. The more you can prove that the repayments can be adequately covered through your income, the stronger the likelihood that you will attract lenders offering the most competitive rates.\r\n\r\nOther factors that can influence the interest rate are:\r\n<h3>Property type<\/h3>\r\nEvery lender is different, but many don\u2019t accept property that is non-standard, unique or <a href="https:\/\/www.onlinemortgageadvisor.co.uk\/property-types\/mortgages-on-listed-buildings\/">a listed building<\/a>. This may be because they fear the properties are higher risk and could be harder to sell in the future.\r\n\r\nThat said, there are lenders who are happy to consider a wide range of property types.\r\n\r\nFor more information on this, read our <a href="https:\/\/www.onlinemortgageadvisor.co.uk\/property-types\/non-standard-construction\/">non-standard property guide<\/a>.\r\n<h3>Credit History<\/h3>\r\nA poor credit record will likely have a detrimental effect on your Airbnb mortgage application and certainly influence the interest rate you may have to pay.\r\n\r\nThis will vary from lender to lender as they all adopt different rules. Some lenders will not accept such applications whereas others will consider them depending on the circumstances.\r\n\r\nTo find out <a href="https:\/\/www.onlinemortgageadvisor.co.uk\/bad-credit-mortgages\/how-to-get-a-mortgage-with-bad-credit\/">how to get a mortgage with bad credit<\/a>, you can view our page.\r\n<h3>Deposit<\/h3>\r\nThe size of your <a href="https:\/\/www.onlinemortgageadvisor.co.uk\/deposits\/">deposit<\/a> will also influence the interest rate you\u2019ll get for a mortgage, particularly one for a new venture such as an Airbnb rental property.\r\n\r\nThe higher the deposit you can provide, the better the interest rate will be, as this offers more comfort and security for the lender.\r\n<h2 id="faq">Frequently asked questions<\/h2>\r\nGot a question about Airbnb mortgages that we haven\u2019t answered yet? See if you can find your answer in one of the topics below.\r\n<h3>Can I use a second home mortgage to fund an Airbnb?<\/h3>\r\nIt\u2019s perfectly possible to use a second home mortgage to buy a property you want to rent out through Airbnb.\r\n\r\nAlthough most mortgage lenders will assess your affordability in a different way. Their primary interest will be the viability of the investment.\r\n\r\nYou can learn more about how a lender might assess an application for a second home mortgage for rental purposes in our <a href="https:\/\/www.onlinemortgageadvisor.co.uk\/2nd-home-mortgages\/">second home mortgage guide<\/a>.\r\n<h3>Can I use a mortgage calculator for my Airbnb?<\/h3>\r\nMany websites and mortgage lenders offer customers online mortgage calculators, like this <a href="https:\/\/www.onlinemortgageadvisor.co.uk\/buy-to-let-mortgages\/buy-to-let-mortgage-calculator\/">buy to let mortgage calculator<\/a> we have hosted on our site.\r\n\r\nThese can be a really useful tool when you want to get a rough idea of how much you might be able to borrow or what you might expect to have to pay each month for a particular property you like.\r\n\r\nHowever, mortgage calculators like this are based on different algorithms and can\u2019t offer you a reliable or precise answer.\r\n<h3>What are typical Airbnb incomes?<\/h3>\r\nTypical Airbnb incomes will vary depending on the property, location and how often they are available.\r\n\r\nHowever, an <a href="https:\/\/www.airbnbcitizen.com\/wp-content\/uploads\/2018\/10\/AirbnbUKInsightsReport_2018.pdf" target="_blank" rel="noopener noreferrer">insight report<\/a> produced by the platform in 2018 suggested the average annual earnings for a host was just over \u00a33,000.\r\n<h3>Is my Airbnb mortgage interest tax deductible?<\/h3>\r\nIt\u2019s possible that you may be able to deduct tax from the mortgage payments you make on your Airbnb rental property.\r\n\r\nOther deductible items might include:\r\n<ul>\r\n \t<li>Rent<\/li>\r\n \t<li>Cleaning costs<\/li>\r\n \t<li>Rental commissions<\/li>\r\n \t<li>Insurance.<\/li>\r\n<\/ul>\r\nTo find out more you should seek tax advice or make an enquiry and talk to one of the advisors we work with.\r\n<h3>Can I get a mortgage for an Airbnb in Scotland?<\/h3>\r\nAlthough there\u2019s no real reason you shouldn\u2019t be able to get a mortgage for an Airbnb property in Scotland, you may find yourself subject to ruling around renting a property out <a href="https:\/\/www.edinburghlive.co.uk\/news\/edinburgh-news\/airbnb-been-lobbying-scottish-government-15714912" target="_blank" rel="noreferrer noopener" aria-label=" (opens in a new tab)">during the Edinburgh Festival<\/a>.\r\n\r\nIf this is your intention, it would be wise to make sure you can achieve what you hope to, ahead of committing to any investment plans.\r\n<h3>What happens if I encounter an Airbnb fraud problem?<\/h3>\r\nAs long as you get agreement from your mortgage lender to rent your property out to Airbnb tenants and can keep up with your mortgage repayments, any problems you have with your rentals shouldn\u2019t affect your mortgage.\r\n\r\nHowever, if your problems or fraud issues affect your ability to meet your repayments, and if this led to you defaulting on your mortgage, you could find yourself exposed and end up in a bad credit situation.\r\n\r\nTo avoid this, make an enquiry and talk to one of the expert advisors we work with. They will talk through your plans and make sure you get a mortgage you can afford, which could make the difference between success and failure.\r\n<h3>Do UK lenders offer mortgages for overseas Airbnb properties?<\/h3>\r\nMost major UK lenders will likely have operations overseas that can provide local knowledge and expertise on a range of banking services, including mortgages for Airbnb properties outside the UK.\r\n\r\nIf you\u2019re interested in becoming an Airbnb host and would like to know more about the type of mortgages available, whether in the UK or overseas, make an enquiry.\r\n\r\nWe will then arrange for a mortgage advisor with experience in Airbnb properties to get in touch.\r\n<h2 id="advice">Where can I get the right advice for Airbnb mortgages?<\/h2>\r\nIf you\u2019re interested in becoming an Airbnb host and want to speak with someone who can offer specialist advice about Airbnb mortgages, call us on 0808 189 2301 or <a href="https:\/\/enquiries.onlinemortgageadvisor.co.uk\/match-me-with-a-buy-to-let-specialist\/">make an enquiry<\/a>.\r\n\r\nThe advisors we work with have a wealth of experience in areas such as this and deal with customers in your situation all the time.