Holiday let and serviced accommodation finance.
Finance for furnished holiday lets and serviced accommodation run as a business — from a single commercial unit to a portfolio, usually held in an SPV. This is commercial, non-regulated lending, assessed on the trading income rather than a standard residential tenancy.
Scope. This is commercial lending on holiday lets and serviced accommodation run as a business or investment — not a regulated mortgage on a second home. HyLend is a credit broker and does not arrange regulated residential mortgages.
Run as a business, financed as one
Where a holiday let or serviced-accommodation unit is a genuine trading or investment venture rather than a personal second home, it is assessed on the business it does: occupancy, average daily rate and seasonality, rather than a standard assured-tenancy rent. That means a commercial or investment valuation and a specialist lender panel used to short-let income.
Planning and the new use class
Short-term-let regulation is tightening: registration schemes are rolling out, and in England a new C5 short-term-let use class and associated planning controls change what can be let and where. Lenders now look hard at the planning position and any local restrictions, so establishing that a property can lawfully be operated as short-let is an early, not a late, question.
Single unit, portfolio or a block
The structure and the lender move with scale: a single apartment run as serviced accommodation, a portfolio of holiday cottages, or an aparthotel or block operated as one business are three different funding conversations. Portfolios and blocks in particular sit firmly in commercial territory and are often held and financed through an SPV, with an exit onto a commercial mortgage once the trading record is established.
Holiday lets & serviced accommodation FAQs
Can you finance a holiday let?
Yes, where it is run as a business or investment — single units, portfolios and serviced-accommodation blocks, typically held in an SPV and assessed on the trading income. We arrange the commercial, non-regulated side; we do not arrange a regulated mortgage on a personal second home.
Is a holiday let mortgage regulated?
It depends on how it is owned and used. A commercial holiday-let or serviced-accommodation venture, held in a company or as an investment and run as a business, is non-regulated — which is what we arrange. A property used substantially as your own residence can be regulated, and that is not something we place.
How are they assessed?
On occupancy, average daily rate and seasonality — the trading income — rather than a standard tenancy rent, through a commercial or investment valuation. A track record of bookings strengthens the case; a new operation is fundable but the structure reflects the shorter history.
Can I finance a serviced accommodation portfolio?
Yes — portfolios and blocks are core commercial territory, usually held through an SPV, and we arrange them whole of market with a refinance path onto a commercial mortgage once the income is proven.
Trading basis or bricks and mortar: it changes the loan
Commercial holiday let and serviced accommodation assets can be valued either as property or as a trading business. Where the asset is a genuine operating unit with a track record, the valuer may assess fair maintainable trade and capitalise it. Where it is a cottage that happens to be let short term, it will be valued as a house against local comparables and the income will not lift the figure.
Seasonality makes evidence unusually important here. Occupancy by season, average daily rate, booking platform data, forward bookings and a clear operating cost breakdown all belong in the valuer's hands at instruction, because a valuer working without them will default to the conservative view. The full valuations guide →
Timeline on a commercial holiday let facility
Six to ten weeks. Where the asset is being valued as a trading operation rather than as a house, the valuer needs occupancy by season, average daily rate, booking platform data and a clear operating cost breakdown, and assembling that properly takes longer than most owners anticipate.
Seasonality also affects inspection scheduling on a property that is occupied through the summer. The honest bridging timeline →