There are many things that make Scotland the perfect place to spend a holiday, and its many attractions help to make purchasing a holiday home there a great investment. The country combines some of the most beautiful scenery and wildlife in Europe with towns and cities that are full of history, art, and culture.
What Scotland has to offer
Scotland is so full of attractions that it really is difficult to know where to start. In the towns and cities the cafes, coffee shops, and some of the best pubs and clubs in the UK give the country a vibrant atmosphere both by day and by night. The shopping facilities in the larger cities rival any that can be found elsewhere in the United Kingdom.
Museums and art galleries seem to be everywhere in Scotland and provide all the culture a person or a family could wish to soak up. For more adventurous individuals, there is an abundance of historical sites located throughout the countryside. The rural areas of Scotland are littered with castles and stately homes, many of which are open to the public and provide a great day out for all the family.
As well as the historic buildings, the scenic views and backdrops provided by the Scottish countryside are second to none. For animal lovers, the wildlife that can be found in the hills and lochs alone will make a holiday home in Scotland an excellent option.
Financing a holiday home in Scotland
Although the housing market has been stagnant for some time, people are still buying second homes. In fact, this sector of the market has been rising steadily since 2009, which is encouraging both long and short term lending by banks as opposed to the one off direct payday loans lenders or short term lenders off the high streets.. The type of financing that will be available to those wishing to purchase a second home will depend in large part on what the property will be used for; for example, whether it is to be used solely by the owner and his or her family as a holiday home, or will be rented out for either some or all of the year.
As a rule, a ‘buy-to-let’ mortgage will only available for properties rented as an assured tenancy in which a contract of six months or longer is signed. However, some lenders may be flexible about this, particularly for borrowers who wish to rent the property out some of the time but also intend to use it themselves for a part of the year. Buy-to-let mortgages are generally more expensive and will often have a 1.5% higher interest rate than a standard mortgage, and require a 25% deposit.
Re-mortgaging to finance a holiday home in Scotland
For those not wishing to rent out their holiday home in Scotland, re-mortgaging may be the best option. With re-mortgaging, banks and building societies will usually offer around 75% of the combined values of both the primary and holiday properties. The advantage of re-mortgaging is that some of the equity in a current property can be used as a deposit for the holiday home. This can help to increase the amount of the deposit put down on the second property, which will in turn help to keep the interest rate low.
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