The number of mortgages available to landlords letting a property as a holiday let has doubled since the start of the pandemic, said Moneyfacts.

The financial information provider said there were 162 deals available in March 2020, compared to 320 now.

Mortgage choice has rocketed 72% in the last year alone, as more lenders have entered the short-term buy-to-let sector.

There are now 31 different brands, six more than in September 2021 and 11 more than in March 2020, most of which are building societies.

Why the rise in mortgages?

Lenders have responded to demand for holiday let mortgages, as landlords have increasingly looked the sector for its potentially higher profits.

There was also a huge surge in demand for UK holiday rentals during the height of the pandemic, when restrictions were in force on overseas travel.

This demand for homegrown holidays could continue over the next year, said Rachel Springall, finance expert at Moneyfacts.co.uk: “Amid a cost of living crisis, holiday makers may forgo a trip abroad and instead pick a vacation closer to home to reduce their costs,” she explained.

“As we witnessed during the pandemic, demand for UK vacations fuelled the holiday let sector, but this was largely due to consumers feeling discouraged or not able to fly abroad.

“UK holidays could then still be a profitable investment for landlords as consumers scrutinise their budgets and perhaps forego a trip abroad.”