Flexible, robust and customized serviced apartment finance solutions for investors, developers and homeowners. UK-wide serviced accommodation, Airbnb and holiday let loans.
• New-build properties.
• Holiday let conversions.
• Short-term serviced apartments.
• Customized buy-to-let finance for serviced accommodations.
• Major/minor refurbishments.
Letting residential properties on an ad-hoc, short-term basis is a trend that has been in motion for well over a decade. Over the last two years, we have seen this trend culminate into a full-blown investment boom, with thousands of investors, developers and homeowners exploring this new-age option of generating handsome returns on their properties.Unfortunately, things aren’t always that easy.
Banks and other high-street lenders have an infamous track record of rejecting serviced accommodation finance applications across-the-board. It’s not too uncommon to find homeowners and developers fail to recoup their investments just because they couldn’t get raise money.
Cognis Capital Partners – a leading whole-of-market finance broker in the UK – has, to some degree, been able to thwart this resistance and promote innovations in the rental sector. We offer unique, customized and flexible serviced accommodation finance and Airbnb Mortgages to qualifying homeowners, developers and investors.
• Every serviced apartment loan we broker is customized fully to meet your exact needs.
• We offer scalable, borrow-as-you-need holiday let finance and serviced accommodation loans for nearly every need of your project – from minor refurbishments to major conversions.
• If you are a developer looking to undertake build-to-let projects that involve serviced apartments, holiday lets or short-term rentals, we can offer end-to-end serviced accommodation finance through our development finance services.
• To homeowners looking to convert their residential properties into serviced accommodations, we can offer low-interest, flexibly structured serviced accommodation loan solutions on the lines of HMO finance.
• One-of-their-kind finance solutions for Airbnb rentals and holiday lets.
• Serviced apartments (SA) finance packages starting as low as £10,000.
• Industry-leading LTV ratios available for all serviced accommodation loans (75-80%).
• Fast processing – you’ll hear from us within 24 hours of applying.
• 24 x 7 customer service.
Serviced accommodations are essentially residential properties let on a short-term basis. The rental period could be anywhere between one day to a few weeks. In most cases, serviced accommodations are used by tourists (holiday rentals) and business travelers (serviced apartments). What sets serviced accommodations apart from the regular buy-to-let, build-to-let or HMO properties is the flexibility of rentals and the amenities provided. A well-run serviced apartment in a busy business district can yield rental income 300-400% higher than an equivalent AST.
A serviced apartment loan or a holiday let loan is important on two counts:
1. It helps you complete the conversion/build/refurbishment quickly without having your money tied up as a lump-sum in the project.
2. By clearing up the financing bottlenecks, serviced accommodation loans move the project along. The quicker you can start letting, the faster you recoup the costs. A serviced apartment finance package is similar to other commercial property loans. The lenders assess your project, attach a value to it, provide a loan offer that’s proportionate to this value and the loan is granted when all other terms are fulfilled.
So far, so good!
But there’s another angle to serviced accommodation loans and holiday let finance packages – one that most lenders and banks won’t talk about. The acceptance rates for such loans are among the lowest in the commercial finance sector for one simple reason – the lenders still don’t fully trust the potential of such properties. Being an industry-leading whole-of-market broker in the UK, we – at Cognis Capital Partners – are proud to be among the very first mainstream brokers to offer full-fledged serviced accommodation loans to developers, investors and homeowners.
We offer end-to-end development finance solutions for build-to-let serviced accommodation projects. Such development loans cover nearly every development cost, allowing you to focus on getting the best returns.
Catering to professionals and business travelers means that you need to furnish your property with the best-in-class amenities. If you own a residential property that you want to convert into a serviced apartment, we can offer some of the cheapest serviced apartment loans that take care of conversion costs, interior design, furniture, utilities and other associated costs.
Holiday letting is a trend on the rise. Tourists and vacationers prefer a local holiday let for the duration of their stay over hotels or B&Bs when they are travelling with the family. To homeowners and investors looking to invest into such opportunities, we offer comprehensive holiday rental loans that are structured just like regular buy-to-let and HMO loans. If you’re planning on buying a property and turning it into a specialty Airbnb rental, our lenders can offer attractive Airbnb rental loans, along with their expertise.
As we mentioned earlier, most lenders are averse to the idea of offering serviced accommodation finance. The underlying reason is fairly easy to understand. Unlike buy-to-let, HMO or build-to-let projects, serviced accommodations are inherently more unpredictable. There’s no guarantee that your property will have year-round occupancy. The lack of fixed monthly income makes such loans riskier propositions for lenders.
“Cognis Capital Partners eliminates the hassle from serviced accommodation finance. We work with lenders who specialize in the short-term rental sector, making sure that your chances of getting a serviced accommodation loan you deserve are far higher than anywhere else.”
Here are a few features that make our serviced accommodation finance services stand out:
• There aren’t many commercial finance brokers who handle the unique requirements of the serviced accommodation sector. We are proud to be among the first ones.
• Like all our commercial finance services, the serviced accommodation loans we broker are fully customizable to meet the needs of your project.
• We have on board a panel of diverse, responsible and specialist lenders. By applying for a serviced accommodation loan with us, you get to reach out to all of them together, instead of sending out dozens of applications.
• Our serviced apartment loans and holiday let finance packages feature low interest rates, flexible repayment schedules and higher than average approval rates.
• Being a national whole of market broker, we have deep-rooted presence in every UK district.
• Our state-of-the-art customer service portal is open to all our customers at all times, throughout the week.
Not being able to get a project started is bad enough. Having to see it stalled halfway through for the want of more funding is definitely worse. Serviced accommodations and holiday rentals can provide great returns on your money only when the investments you’ve made are adequate and cheap. Don’t get lured into high-maintenance mortgages and outrageously expensive personal loans to get your serviced accommodation project up and running. Let Cognis Capital Partners find you a loan offer that makes sense.