1 in 3 second home owners own a quarter or less of their property

Posted: 25 Nov 2008 10:39:15 GMT

            Property News - 1 in 3 second home owners own a quarter or less of their property

One in three second homeowners in the UK are currently repaying mortgages of 75 per cent or more on their new properties, a rate which is likely to increase their exposure to market forces in the future.

Recent research from holidaylettings.co.uk shows that while a third of second home owners owe 75 per cent or more of their property's value, a full fifth owe 90 per cent or more.

Ross Elder, managing director of holidaylettings.co.uk, said: "It has been a tough year for any second home owner with a mortgage, which in part explains the growth in number of owners letting out their properties in the first ten months of the year.

"However, I believe there is also a transition of appreciation for the added value a second home has, not just as pension or capital gains income, but ongoing rental income," he explained.

With many investors and buy-to-let landlords now choosing to relinquish their second homes, those hoping for a smart and timely sale may benefit from selling a property online, which can bypass expensive estate agents while reaching a wider market.

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