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  • FIRST POST
    • lesterxburnham
    • By lesterxburnham 13th May 17, 9:34 PM
    • 43Posts
    • 0Thanks
    lesterxburnham
    Consent to let?
    • #1
    • 13th May 17, 9:34 PM
    Consent to let? 13th May 17 at 9:34 PM
    I've got a mortgage with HSBC and want to buy another property. I was hoping to rent out my current property so thought I will need to convert my current mortgage into buy to let.

    So, I contacted HSBC about that and was told that I can't convert my current mortgage into buy to let and that would be only possible after I take residential mortgage for new property and live there for 6 months.

    In the meantime though, they told me that I could get consent to let on my current property. I asked about requirements for consent to let and they said that it varies so I'll need to apply and then they tell me if I can get it. Does anyone have any experience with similar situation? Is it easy to get consent to let? what does it entail financially?
Page 1
    • Lilla D
    • By Lilla D 13th May 17, 11:42 PM
    • 316 Posts
    • 160 Thanks
    Lilla D
    • #2
    • 13th May 17, 11:42 PM
    • #2
    • 13th May 17, 11:42 PM
    Lenders are normally ok to give consent to let when someone has a genuine case of moving house after a certain period of living in the property and they either can't remortgage to a BTL deal or it's not practical for them due to being in a deal with an ERC attached.

    The application / admin fee is normally nominal, but some lenders increase the interest rate when there is a consent to let in place. Not sure about HSBC, but they should advise you about the financial implications.
    I am a Mortgage Broker
    You should note that this site doesn't check my status as a Mortgage Adviser, so you need to take my word for it. This signature is here as I follow MSE's Mortgage Adviser Code of Conduct. Any posts on here are for information and discussion purposes only and shouldn't be seen as financial advice.
    • lesterxburnham
    • By lesterxburnham 13th May 17, 11:58 PM
    • 43 Posts
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    lesterxburnham
    • #3
    • 13th May 17, 11:58 PM
    • #3
    • 13th May 17, 11:58 PM
    thanks for reply genuine case is rather broad term, my reason to move is that I want to buy another property and start renting out current one - do you think this would classify as a genuine case?
    • Lilla D
    • By Lilla D 14th May 17, 12:03 AM
    • 316 Posts
    • 160 Thanks
    Lilla D
    • #4
    • 14th May 17, 12:03 AM
    • #4
    • 14th May 17, 12:03 AM
    Yes, that would normally classify, unless you recently moved into the current property I realise that "recently" is also a broad term, but most lenders don't really like it, if you only moved in within the last 6-12 months and now you want to rent it out. Their argument is that you should have known that you were going to rent it out, so you should have got a BTL mortgage to start with. Does it help?
    I am a Mortgage Broker
    You should note that this site doesn't check my status as a Mortgage Adviser, so you need to take my word for it. This signature is here as I follow MSE's Mortgage Adviser Code of Conduct. Any posts on here are for information and discussion purposes only and shouldn't be seen as financial advice.
    • lesterxburnham
    • By lesterxburnham 14th May 17, 11:28 PM
    • 43 Posts
    • 0 Thanks
    lesterxburnham
    • #5
    • 14th May 17, 11:28 PM
    • #5
    • 14th May 17, 11:28 PM
    it does indeed, thank you
    • lesterxburnham
    • By lesterxburnham 19th Jun 17, 6:56 PM
    • 43 Posts
    • 0 Thanks
    lesterxburnham
    • #6
    • 19th Jun 17, 6:56 PM
    • #6
    • 19th Jun 17, 6:56 PM
    so bank gave me consent to let under following condition:

    "Bank consent to the property being let provided that the agreement does not result in the tenant having the benefit of any security of tenure over and above the contractual term of the tenancy"

    can someone help me understand what it means please?
    • DeterminedSingleMummy
    • By DeterminedSingleMummy 21st Jun 17, 12:22 AM
    • 202 Posts
    • 903 Thanks
    DeterminedSingleMummy
    • #7
    • 21st Jun 17, 12:22 AM
    • #7
    • 21st Jun 17, 12:22 AM
    Hello. I can't help you with what that means but I do have a question. Did the bank say how long the "consent to let" was for?

    I am hoping to get the same for my property once I find somewhere else but would rather do a consent to let than convert my mortgage to a buy to let...
    Balance at start of mortgage Dec 2011 £87500
    1 Jan 2015 = £73,735 Overpayments = £3,360 (average £280 p/m)
    1 Jan 2016 = £66,558 Overpayments = £4,770 (average £397.50 p/m)
    1 Jan 2017 = £57,756 Overpayments so far Jan £0 Feb £550 Mar £3022 April £690 May £1513 total £5775
    • lesterxburnham
    • By lesterxburnham 24th Jun 17, 9:49 PM
    • 43 Posts
    • 0 Thanks
    lesterxburnham
    • #8
    • 24th Jun 17, 9:49 PM
    • #8
    • 24th Jun 17, 9:49 PM
    I got it for 12 months
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