There are five-year deals available up to 65 per cent loan to value (LTV). The range includes a rate of 3.5 per cent, with a 2.5 per cent arrangement fee, or a 3.8 per cent rate with a one per cent fee.
Borrowers with smaller deposits can opt for the 75 per cent LTV deals instead, which also come with two fee options. The lower 3.75 per cent rate comes with a two per cent arrangement fee, but they can also opt for a 3.95 per cent rate with a one per cent fee.
CHL will consider properties intended to be let through Airbnb as a holiday let or serviced apartment. A valuer will however need to confirm that the property could be occupied under an assured shorthold tenancy (AST), that the interest coverage ration calculation fits based on the market rent achievable through an AST, and that the property would be in demand from both owner-occupiers and investors.
CHL’s expansion into short-term let follows its recent introduction of a new product range for large houses in multiple occupancy (HMO) and multi-unit freehold blocks (MUFB).
Ross Turrell (pictured), commercial director at CHL Mortgages, said that following an “exceptional” Q1, the lender is looking to evolve its proposition based on feedback from brokers and demand from landlords.
He said: “When entering any new product area, it’s vital to do so from a solid lending platform. We feel that adding a competitive range of short-term let products will deliver further options and opportunities for our intermediary partners to better service the ever-changing needs of landlord clients looking to diversify portfolios and maximise yields.”
