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Best Remortgage to Buy a Second Property 2026

Remortgaging to raise a deposit for a second home, holiday let or buy-to-let is a common way to grow a property portfolio. This guide covers the best lenders, the affordability rules, and how to release a deposit from your existing home in 2026.

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Quick Answer: Best Remortgage to Buy a Second Property in 2026

Most mainstream lenders — Halifax, Nationwide, Santander, Barclays, NatWest — allow remortgaging your main home to release a deposit for a second property, typically up to 85% LTV, with 'purchasing another property' an accepted reason. You release the deposit at residential mortgage rates, then take a separate mortgage (residential, holiday-let or buy-to-let) on the new property. Affordability must cover both. A broker structures the two-part deal and confirms you'll pass the second mortgage's criteria too.

How the Two-Part Deal Works

Buying a second property this way involves two linked mortgages:

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Gary from London

"Easier Than Expected"

Gary, London
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"I kept putting off remortgaging because I thought it would be a massive headache. Honestly, the whole thing was painless — filled in a quick form, got my options, and it was all sorted within weeks. Wish I'd done it sooner."
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Katie, London
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"Our fixed rate was ending in a month and I was panicking about going onto the SVR. Managed to get everything sorted really quickly and we're now on a much better rate. Saving us about £200 a month."
Janet from Exeter

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Janet, Exeter
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"Was a bit nervous about switching as I'd been with the same lender for years. Turns out I was massively overpaying — got a much better deal and the whole process was far easier than I expected."
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Lucy, Tamworth
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"After having to pay a ridiculous amount due to the interest rate hike, we have now got a more suitable monthly payment, consolidated a loan and have money left for hopefully a loft conversion."

Second-Property Routes Compared (2026)

New property useMortgage type on it
Rent to tenantsBuy-to-let (assessed on rental income)
Holiday let (short-term)Holiday-let mortgage (projected seasonal income)
Your own second/holiday homeSecond-home residential (assessed on your income)
Home for a family memberRegulated BTL / family BTL

Note: second properties usually attract higher stamp duty (a surcharge), which you should budget alongside the deposit. A broker can model the full cost.

How to Make It Work

To buy a second property smoothly:

Best Alternatives and Related Options

Depending on your plans, also consider:

Important: Your home may be repossessed if you do not keep up repayments on your mortgage. There will be a fee for mortgage advice. The actual rate available will depend on your circumstances. Think carefully before securing other debts against your home.

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Frequently Asked Questions

Yes — most mainstream lenders including Halifax, Nationwide, Santander, Barclays and NatWest allow remortgaging your main home to release a deposit for a second property, typically up to 85% LTV. 'Purchasing another property' is an accepted reason for capital raising. You then arrange a separate mortgage on the new property (buy-to-let, holiday-let or second-home residential). A broker coordinates both parts of the deal.

It depends on your main home's equity and your affordability. You can typically release up to 85% LTV minus your current balance, subject to your income supporting the larger loan plus the new property's costs. A broker can calculate your releasable deposit and check you'll also pass the second mortgage's criteria — often the limiting factor for larger purchases.

Yes — second properties in England and Northern Ireland attract a stamp duty surcharge on top of standard rates (with similar surcharges in Scotland and Wales under LBTT/LTT). This applies to holiday homes, buy-to-lets and additional residential properties. Budget for the surcharge alongside your deposit, as it can be a substantial sum. A broker or conveyancer can confirm the exact amount for your purchase.

It depends on use. If you'll rent it to tenants, you need a buy-to-let mortgage assessed on rental income. If it's a short-term holiday let, a holiday-let mortgage. If it's your own second or holiday home that you won't rent out, a second-home residential mortgage assessed on your income. A family member living there may need a regulated or family buy-to-let. A broker matches the product to your intended use.

It can be a cost-effective way to fund a deposit, since you borrow at residential mortgage rates rather than unsecured rates. But it increases your main-home borrowing and LTV, you take on a second mortgage, and second properties carry a stamp duty surcharge. It works well when the numbers stack up on both properties and the second one earns income or holds value. Model the full cost with a broker first.

Yes — you can remortgage to release equity to gift or lend a deposit to a family member, or to buy a property for them (often via a family buy-to-let or regulated BTL where a relative lives there). Lenders generally accept 'gifting a deposit' or 'family purchase' as reasons. The structure affects stamp duty and tax, so take broker and, ideally, tax advice before proceeding.

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