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Your property may be repossessed if you do not keep up repayments on your mortgage. Most Airbnb mortgages are not regulated by the Financial Conduct Authority.
Guide · Buy to Let Mortgages

Airbnb Mortgage:
Short Term Let Lenders, Rates and Criteria

Many landlords begin letting on Airbnb unaware that their existing mortgage terms prohibit it. Understanding which mortgage type applies, what specialist lenders require, and how planning obligations work is essential before any purchase or listing decision.

Updated July 2026

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30 to 35%
Typical minimum deposit
90 nights
London annual limit without planning permission
FCA
Authorised & regulated, FRN 762513
£299
Only on formal mortgage offer
What is an Airbnb mortgage?

An Airbnb mortgage is a specialist buy-to-let mortgage that explicitly permits the property to be let on short-term letting platforms such as Airbnb, Booking.com, or Vrbo. Most standard buy-to-let mortgages prohibit this, meaning letting a property on these platforms without lender consent is typically a breach of the mortgage terms. As a whole-of-market broker, we consider a comprehensive range of mortgages from across the market, including the smaller pool of lenders who specifically underwrite short-term letting.

Which mortgage type applies?

Does My Mortgage Allow Airbnb? Standard BTL vs Short Term Let Mortgage

The most important question before listing any property on Airbnb is whether the existing mortgage permits it. These three mortgage types have fundamentally different positions on short-term letting.

✗ Prohibited
Standard Buy-to-Let Mortgage
Most standard buy-to-let mortgages explicitly prohibit short-term letting including Airbnb. Listing under this mortgage type without lender consent is typically a breach of the mortgage terms.
⚠ Check Terms
Holiday Let Mortgage
Holiday let mortgages are designed for short-term and seasonal letting. Some lenders accept Airbnb-style platform letting, others require traditional booking channels. FHL criteria must be checked against the specific letting model.
✓ Designed For
Airbnb / Short Term Let Mortgage
Specialist Airbnb mortgages are intended for platform letting, subject to lender criteria. Lenders underwrite the short-term letting income model and accept platform booking history as evidence of performance.
Airbnb planning rules

Airbnb Planning Permission and the 90-Day Rule

Planning permission requirements affect both the legality of operating an Airbnb and whether a lender will proceed with a mortgage. Requirements vary significantly between London and the rest of the UK.

London
90-Night Annual Limit
  • Let short-term up to 90 nights per year without planning permission
  • Exceeding 90 nights requires a change of use planning application
  • Applies to the property as a whole, not per guest or booking
  • Many lenders require confirmation of compliance before proceeding
VS
Rest of UK
Check the Local Authority
  • No national 90-day equivalent outside London
  • Some local authorities in tourist areas have introduced restrictions
  • Scotland has introduced a short-term let licensing scheme
  • Always check with the specific local authority before purchase
What lenders assess

What Do Airbnb Mortgage Lenders Require?

Airbnb and short term let mortgage lenders assess applications differently from standard buy-to-let. Platform income is variable and seasonal, which means lenders apply more scrutiny to income evidence and business viability.

01
Planning Permission Status
Lenders typically require confirmation that the property complies with local planning requirements, including the 90-night limit in London or a clear statement of the local authority position elsewhere.
02
Platform Track Record
Existing hosts with booking history, guest ratings, and occupancy data are viewed more favourably. New operators need to demonstrate viability through a credible business case and local market evidence.
03
Deposit: 30 to 35%
Many lenders require a minimum deposit of 30-35%, higher than the standard buy-to-let minimum, reflecting income variability and the shorter track record of short-term letting.
04
Specialist Insurance
Standard landlord insurance does not cover short-term holiday letting. Lenders typically require evidence that appropriate short-term let insurance is or will be in place.
05
Income Assessment
Short-term letting income is seasonal and variable. Lenders often apply more conservative occupancy assumptions or require evidence of comparable properties.
06
Property Type and Location
High-rise flats, leasehold complications, and areas with active planning enforcement may face additional restrictions. Tourist-area demand evidence factors into assessment.
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Illustrative scenario

How Has an Airbnb Mortgage Application Been Approached?

This is a purely illustrative example and does not represent an actual customer outcome, typical results, or a recommendation for any individual. Not all applications will meet lender criteria and some may be declined.

Airbnb property investment and short term let mortgage advice
Illustrative example

Standard BTL to Airbnb Mortgage Transition

The situation
Letting activity Airbnb, 18 months
Original mortgage Standard BTL (non-compliant)
Platform history 18-month booking record
Location Outside London 90-day area
Deposit position 35% (from equity)
What may have helped
Specialist Airbnb lenders identified matching the profile
Planning position confirmed with local authority
Platform booking history compiled as income evidence
Short-term let insurance confirmed in place
A specialist lender indicated the application may meet initial criteria, subject to full underwriting

Illustrative only. This is not a decision in principle or guarantee of a mortgage offer. Actual results depend on individual circumstances and lender criteria at the time.

Discuss Your Airbnb Mortgage

Speak with an adviser about Airbnb mortgage options, short term let mortgage lenders, and how your application may be approached.

Speak to an Adviser

Regulated mortgage advice will only be provided after we have assessed your individual circumstances. A fee of £299 is payable on receipt of a formal mortgage offer if you choose to proceed.

Common questions

Airbnb Mortgage: Frequently Asked Questions

In most cases, no. Most standard buy-to-let mortgages contain terms that prohibit short-term holiday letting including Airbnb, Booking.com, and similar platforms without explicit written consent from the lender. Letting a property on these platforms without consent is typically a breach of the mortgage terms. If you hold a standard buy-to-let mortgage and let on Airbnb, specialist advice on transitioning to an appropriate product is important.
In London, properties can only be let short-term for up to 90 nights per calendar year without planning permission. Exceeding this limit requires a change of use planning application. Many Airbnb mortgage lenders typically require confirmation that the property will comply with this limit, or evidence that planning permission has been obtained. Outside London, no equivalent national rule applies, but some local authorities have introduced similar restrictions.
Many Airbnb and short term let mortgage lenders typically require a minimum deposit of 30-35%, higher than the standard 25% minimum for standard buy-to-let. First-time short-term let investors may face higher deposit requirements than those with a demonstrated platform track record. Deposit requirements, rates and lending criteria may change and depend on individual circumstances.
Standard landlord insurance does not cover short-term holiday letting including Airbnb. Specialist Airbnb host insurance or short term let insurance is required, covering buildings, contents, guest liability, and platform letting activity. Many Airbnb mortgage lenders require confirmation that appropriate specialist insurance is in place before they will proceed.
Holiday let mortgages are primarily designed for properties meeting HMRC's Furnished Holiday Letting criteria: available for at least 210 days per year and actually let for at least 105 days. Some holiday let lenders accept Airbnb-style platform letting; others require more traditional booking channels. A short term let mortgage may be more flexible and does not require FHL status.
Airbnb income is taxable in the UK. Tax treatment depends on individual circumstances, FHL qualification, personal use levels, and current tax legislation. Tax rules change over time. A qualified accountant should be consulted before any investment decision where tax is a significant factor.
Important information

Consumer Duty Information

Who this may be less suitable for: Investors who have not verified the planning position for their specific property and location, those who are unaware that their existing mortgage may prohibit short-term letting, investors who have not considered the management intensity of frequent guest turnovers, or those relying on short-term letting income to cover mortgage payments without a financial buffer for low-occupancy periods.

Foreseeable harm

Rental income from short-term letting is not guaranteed and may be significantly more volatile than long-term tenancy income. Letting on Airbnb under a mortgage that prohibits it creates a risk of lender enforcement action. Non-compliance with planning requirements creates legal risk. Standard landlord insurance does not cover short-term letting, leaving properties potentially uninsured for guest-related claims.

If you are experiencing financial difficulty, free and impartial guidance is available from MoneyHelper.

Related guides

Other Buy-to-Let Mortgage Types

Take the next step

Discuss Your
Airbnb Mortgage

Speak with an adviser about Airbnb mortgage options, short term let mortgage lenders, and how your application may be approached.

Regulated mortgage advice will only be provided after we have assessed your individual circumstances. A fee of £299 is payable on receipt of a formal mortgage offer if you choose to proceed. Your property may be repossessed if you do not keep up repayments on your mortgage.

Speak to an Adviser

Regulatory status: Woodhall Mortgages is authorised and regulated by the Financial Conduct Authority. Firm reference number 762513. Most buy-to-let mortgages, including Airbnb and short term let mortgages, are not regulated by the Financial Conduct Authority. Some consumer buy-to-let mortgages may be regulated.

Whole-of-market advice: Woodhall Mortgages is a whole-of-market mortgage broker. We consider a comprehensive range of mortgages from across the market, but not all lenders or products may be included. We will make a personal recommendation after assessing your needs and circumstances.

Fee: A fee of £299 is payable on receipt of a formal mortgage offer if you choose to proceed. This fee is non-refundable once a formal mortgage offer has been issued, whether or not the mortgage completes. No fee is charged if a formal mortgage offer is not issued. We will receive commission from the lender if you proceed.

Investment risk: Rental income from short-term letting is not guaranteed and may be more variable than long-term tenancy income. Property values can fall as well as rise. Tax treatment of Airbnb income depends on individual circumstances and may change. We do not provide tax advice.

This is a financial promotion, intended for UK consumers. Your property may be repossessed if you do not keep up repayments on your mortgage. Last reviewed: July 2026.

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