Second home mortgage explained
A second home mortgage is for an additional property you will use yourself, such as a holiday home, not one you let out. Because you are not relying on rent, it is a regulated residential mortgage assessed on your own income, not on rental cover like buy-to-let. Expect a higher-rate stamp duty surcharge on the additional property, and the lender will check you can afford both mortgages together.
Second home or buy-to-let?
The line is use. A second home is for you: a holiday place, a bolthole near work, somewhere for family. A buy-to-let is bought to rent out for income. They are different products with different rules: a second home is a regulated residential mortgage assessed on your personal income, while buy-to-let is usually unregulated and assessed on rent. If you plan to let the property, even occasionally for significant income, tell the lender, because that changes which product applies.
What to budget for
- A deposit for the second property, on top of any equity in your main home.
- Affordability across both mortgages at once, on your income.
- The higher-rate stamp duty surcharge that usually applies to an additional property.
- Running costs for a property that may sit empty for stretches.
Getting it arranged
Most mainstream lenders offer second-home mortgages, but they differ on how they assess carrying two mortgages and on property types (for example a remote holiday cottage or a flat with a short lease). A broker can match you to a lender comfortable with the property and your finances. We introduce you to a regulated broker who can advise.
Common questions
What counts as a second home?
A second home is an additional property you will use yourself, such as a holiday home or a weekday bolthole near work, rather than one you let out for income. Because you are not relying on rent, it is a residential mortgage assessed on your own income, unlike buy-to-let.
How is it different from buy-to-let?
A buy-to-let is assessed mainly on rental income and is usually unregulated; a second home for your own use is assessed on your personal income and is a regulated residential mortgage. If you intend to let the property, that is buy-to-let, not a second home, and you must tell the lender.
Is there extra stamp duty?
Buying an additional property typically attracts a higher-rate stamp duty surcharge on top of standard rates. The exact rates and any thresholds change over time and vary by nation within the UK, so check the current position before you budget.
Can I afford two mortgages?
The lender will assess affordability across both: your existing mortgage and the new one must fit your income and outgoings. You will also need a deposit for the second home. A lender will want to be satisfied you can comfortably carry both commitments.
Planning to let it instead? See holiday let mortgages and the buy-to-let hub.
Founder, MortgageExplained, MortgageExplained
Adam spent nearly a decade as a mortgage adviser at Just Mortgages, with further experience in commercial finance. He is CeMAP and CF qualified. He built MortgageExplained to do one thing well: explain mortgages in plain English, then introduce you to a regulated broker when you are ready. Every page is written and reviewed by Adam.
Last reviewed: 29 June 2026