Mortgages for those serving in the forces

Gnd

Just followed the links to L&C mortgage brokers (phone 0800 953 0304) which is recomended on the 'free advice' bit on this site (I had never heard of them before and have no connection). A very nice man called Allen took some details and within the hour phoned back with a great deal.

I was with Abby but on 7.09%, called to get a better deal - the offered 6.89% buy to let even though I have just come of thir fixed residential rate. They wouldnt budge so I droped them.

I got 5.75 fixed for 2 years giving a £115 saving and, even better, its residential with no problems about my tennant (for the same reason as most of you), they will provide the required letter. I think I like this site!!.

PS the C&G pay their fee - not me,:beer: easy!!!!!!

Find the validated link (free fees London & country) here http://www.moneysavingexpert.com/mortgages/best-mortgages-cashback#best

maddyh

mikeandtango wrote: »

Hello all,

thanks, some good advice there and most importantly information on other lenders that support this situation (I shall be quoting them in my letter to the Chelsea).

I will let you know if Chelsea do not allow me to stay on our residential rate! My boss at work (Lt Col) advised me to go the media and publicise that the Chelsea are anti-armed forces and hope that market/media pressure could force them to relent!

I think it will be worthwhile to publicise this amongst the Forces a bit more. I intend to write in to Soldier Mag and post on the ArmyNet forum as I feel strongly that we must support those lenders who are understanding of our unique situation!

REgards to you all.

Mike and tango, would be great to know how you got on. We are in simliar situation with Chelsea. After living in the house for 2 years, my husband was posted so asked permission to rent and were informed we would be put upto stand variable rate which we cannot afford as would be an extra £200 pounds a month which any rent won't cover.

So the house is now rented out but we haven't old Chelsea not keen on this but doesn't seem to be any other option, the fixed rate expires next year so will need to remortgage anyway maybe one of the other companies mentioned would be more helpful!

I agree and think you should go to the media and highlight that mortgage companies are making it hard for armed forces even when the mortgage is being paid!

mi33cupc@ke

I'd like to know how everyone gets on too. Unfortunately, as I previously posted, we were forced onto a buy to let mortgage by Northern Rock after our residential rate expired last year. We are now tied into a 6.59% rate for 4 years! This is costing us an extra £250 per month on top of the rent we get and its a struggle. Is there anything we can do? Could this be classed as misselling or is it only at the mortgage company's discretion that serving members be allowed a residential mortgage when renting out their property?

Dolph81

Hello all,

I got a Halifax mortgage in Summer 2006 and recieved consent to lease for three years and have been informed that assuming my circumstances don't alter it will be simple enough to continue it. While it was arranged through a mortgage broker and Halifax were happy with the consent to lease, i did also recieve letters from them stating that i did not have consent to lease. A classic case of the right hand not speaking to the left - all was good in the end though.

tartanterra

After having my current house for almost two years and barely living in it due to operational commitments, I decided to let it out and stay at my other half's house when I was back at home. I told Nationwide BS of my plans and they bent over backwards to help.
I signed a form, kept my discounted residential mortgage and now have great tenants. Eight months ago when my discount was up for renewal, I had no problems getting another discounted residential tracker.
I think the key to my success has been maintaining a good relationship with the Nationwide and of course, the fact that I will move back in when I am leading a stable life again.
Hope this helps!

Cat695

jools02 wrote: »

I'd like to know how everyone gets on too. Unfortunately, as I previously posted, we were forced onto a buy to let mortgage by Northern Rock after our residential rate expired last year. We are now tied into a 6.59% rate for 4 years! This is costing us an extra £250 per month on top of the rent we get and its a struggle. Is there anything we can do? Could this be classed as misselling or is it only at the mortgage company's discretion that serving members be allowed a residential mortgage when renting out their property?

Its at the mortgage lenders discretion that they give those serving in the forces residential mortgages for BTL.

NR are in trouble and need all the money they can.....Thats why they did that.

Bernie

...I recall that as a Serviceman, you have additional rights to enable you to take repossesion of a let property.

We included this in our letting contracts at the time (but never needed to exercise the right). This influenced our mortgage lenders to carry on regardless when we were posted to Germany decades ago. We never went back to that house, it was let from then until today and is now our buy-to-let.

:beer:

alibongo42

I'm surprised no one has mentioned Lloyds TSB (although they do C&G mortgages, which have been mentioned). Our mortgage broker told us at the outset that Lloyds were one of the most understanding banks in HM Forces situations.

We bought a house just to get on the ladder, and "just in case" we want/need to move back home at any point.

We got a residential mortgage, and then applied for permission to let (not technically the correct way to do it), choosing the "tied house with job" option. I also made sure I mentioned hubby was Army in the comments section.

We paid £120 for permission to let, and were granted permission for the term of the mortgage. As Lloyds gave us an excellent renewal deal after the initial 2-year fix was up, we are now on a lifetime tracker. No mention was made at renewal of the permission to let, and as we still have the same mortgage account number, we seem to have pulled off beng able to let on a residential rate for as long as we like!

ATECHM

In todays climate, I would like to know if anyone is getting a residenial mortgage on a property that is let out. I have just spoken to an independant finance advisor, who said I could not get a normal Mortgage and C and G would consider but would charge over 6% and costs of £3000+ set up fee. Any advice would help, thanks

maggymoo

ATECHM wrote: »

In todays climate, I would like to know if anyone is getting a residenial mortgage on a property that is let out. I have just spoken to an independant finance advisor, who said I could not get a normal Mortgage and C and G would consider but would charge over 6% and costs of £3000+ set up fee. Any advice would help, thanks

I would like to know this too and the banks that are allowing you to have a residential mortgage because when i rented mine out last year the mortgage company changed it to a buy to let mortgage. I was not happy about it because it meant my mortgage went up. I am due to change mine in the summer time would like to know if they are still allowing you to have a residential mortgage.