Tax and legal differences in Wales
Property in Wales uses the same land registration and conveyancing system as England, so lenders and solicitors work in the same way. The tax is different: Land Transaction Tax, collected by the Welsh Revenue Authority, replaces Stamp Duty Land Tax, with higher rates on many additional residential properties, including those bought by companies.
Councils in Wales can also charge council tax premiums on second homes and long-term empty homes. If you are buying an empty property to refurbish, or keeping a property as a second home, factor any premium into your holding costs.
Letting rules in Wales
If you plan to let the property, Welsh rules apply. Landlords and letting agents must be registered or licensed with Rent Smart Wales, and most residential lettings are occupation contracts under the Renting Homes (Wales) Act 2016, with requirements on fitness for human habitation, including electrical safety and smoke alarms.
HMO licensing is run by local councils, and holiday lets face specific rules on business rates and, in some areas, planning controls on second homes and short-term lets. Refinance lenders will expect the property to comply, so allow time in the bridge for registration, any licence and any works needed.
Choosing a lender
Lenders that cover England and Wales are well represented on our panel, and some cover Great Britain or the whole UK. A few lenders active in England lend in Wales only on referral or not at all, and rural locations, unusual construction or agricultural property can narrow the choice further.
We compare lenders on loan to value, rate, fees and how they treat your property and location, then approach those that fit with a clear case. Instant Quotes lets you choose Wales as the location and shows lenders that lend there, as a starting point. Final terms depend on each lender's valuation and checks.
If you or your family will live in the property
If the borrower is an individual or the trustees of a trust, and the property is, or will be, lived in by you or a close family member, the loan is a regulated mortgage contract with additional protections. We will tell you at the outset if that applies and how your case will be handled.
Your home or property may be repossessed if you do not keep up repayments on a mortgage or any other debt secured on it.
