The Cumberland Building Society has launched its inaugural Holiday Let Index to track investor confidence, lending activity and changing behaviour across the UK holiday let market.
Produced in partnership with independent market research agency Pegasus Insight, the index brings together research from mortgage brokers, private landlords and homeowners with holiday let properties.
The research covers 125 respondents, comprising 25 mortgage brokers, 50 private landlords and 50 homeowners who own at least one holiday let property across England, Scotland and Wales.
It examines how the sector is responding to recent tax and regulatory changes alongside wider economic pressures, as well as the trends and opportunities shaping investment decisions.
SPECIALIST LENDING
The report also explores changing guest behaviour, the profile of holiday let investors and the growing role of specialist mortgage expertise within the market.
Mortgage search and product availability data from Twenty7tec has been incorporated to provide additional insight into lending conditions.
The launch follows a recent reduction in The Cumberland’s holiday let mortgage rates as the building society continues to target borrowers operating in the sector.
The Cumberland Head of Intermediary Lending Grant Seaton (main picture) says: “Given everything the holiday let sector has experienced over the past few years, it would have been easy to surmise that investor confidence had fallen sharply.
“What our research actually revealed was a much more nuanced picture, with several findings that challenged some of the assumptions surrounding the market. That’s exactly why we wanted to produce the Holiday Let Index.
“We wanted to hear directly from the people who know the market best.”
“We wanted to hear directly from the people who know the market best. By bringing together the views of brokers, landlords and homeowners, we’ve been able to build a clearer picture of what’s happening across the sector today, how recent changes are shaping decisions and where opportunities continue to exist.
“As a mutual, listening has always been an important part of how we work. Every conversation with a broker or borrower helps us better understand the market and the people we support, and this research is another extension of that approach.
“We hope our inaugural Holiday Let Index becomes a valuable point of reference for brokers, investors and anyone with an interest in the holiday let market.
“More importantly, we hope it encourages further discussion about where the holiday let market goes next.”
