Hodge has increased the rental yield LTV criteria for its holiday let mortgages to 30 weeks.

The firm previously calculation rental income based on 26 weeks and using an average projected low, medium and high season weekly rental yield.

According to Hodge, the change has been made in reaction to increasing rental yields and a buoyant market.

Hodge’s business development director Emma Graham says the firm has seen a 173% increase in applications for its holiday let mortgages since they launched in 2019.

“We constantly talk to our broker colleagues and ask them how we can improve our products. They suggested a few things. We listened and now this new 30-week occupancy calculation change is being made,” she says.

“This change in our criteria will help even more people get on the holiday let mortgage ladder and offer more accommodation to the UK holiday market.”

House and Holiday Home Mortgages’ Joe Stallard adds: “It’s fantastic to see Hodge moving back to a 30-week occupancy calculation with their holiday let proposition. This demonstrates confidence in this area of the market and will enhance their offering for clients.”