RENTING? Check your LL has permission to let that property.

tbs624

angeltreats - you could consider *writing* to the Nationwide (keep a copy for your own records), enclosing a copy of your tenancy agreement.

Tell them about the phone call and their staff member's response - it may be that you spoke to someone who was inexperienced.

In the event of your LL failing to meet his repayments and the NW needing to repossess they are obliged to inform you as current occupants under a tenancy agreement.

Ask them to formally acknowledge receipt of your letter.

If your LL is flying under the radar then they may also not be declaring the rental income to HMRC.

Have they scheme registered your tenancy deposit & provided you with the scheme's prescribed information?

Gas safety cert in place if any gas applicances at the property?

angeltreats

Well we did originally rent through an agent and the deposit is (I think) protected in the scheme. I'll double check. We have never had a gas certificate (we've been there 18 months), but we told them recently to sort this out and an engineer is coming round this evening. I don't think we have an EPC either.

The person I spoke to at Nationwide was apparently a "supervisor" although that probably doesn't mean very much. We do have an item of post addressed to the landlord that arrived yesterday, would it help to enclose that with a letter explaining that we are the current tenants (with a copy of the tenancy agreement)? In the past we have just forwarded on any post.

tbs624

The three deposit schemes are DPS, TDS and mydeposits - as you say, it would be best to check direct that the deposit *is* registered..

LLs can be penalised to around 200 quid via the local Trading Standards Office for failing to have an EPC in place before renting the property out ( I personally have a low view of the value of EPCs in their current format but the fact remains that one is required)

The LL/LA is clearly prepared to run the risk of a hefty fine if they do not keep up to date with GSCs - see http://www.hse.gov.uk/press/2012/coi-se-2701.htm

LL is obliged to keep their copy of the GSC for a minimum of two years.

ianthy

Hi I am sitting on the other side of the fence - we want to rent out our family home but C&G are refusing to allow this on our current rate - they are happy to double the interest rate! We are moving to a new lender - we simply can not take the risk of renting out without persmission. It's just not worth it.

TheUmpteenth

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MissMoneypenny

silvercar wrote: »

It is right that someone who has money should not be claiming benefits when they could be looking after themselves. I understand that money tied up in a house can't be used to live off, but selling up to release money is an option that should be explored. Maybe the rules should allow a claim for a few months whilst a house is sold, but after that people need to understand that benefits provide a safety net, if you have money you need to untie it and live off it, until you sort your job situation out.

Income base welfare has a 16k limit, so if the value of the property less the benefit calulations exceeds 16K, then there is no access to income based welfare at all.

Capital means your savings, investments and the value of property and land owned but not occupied by you.
http://www.dwp.gov.uk/publications/specialist-guides/technical-guidance/rr2-a-guide-to-housing-benefit/working-it-out/income-and-capital/

Income based welfare will not prop up a business or investments, anymore once Universal Credit comes in.

Tax Credits are income based welfare payments and will be part of the new Universal Credit (along with other income based welfare payments) that starts next year. From the consultaion papers, UC will have a capital limit of 16K. The actual UC rules are due out in October.

wilf3uk

Good afternoon all.

Too many posts to read through them all, but I think my situation is relevant to the initial post in this thread.
I've just done a check on my previous rented property and have found my LLs registered address to be the property that I rented. I know he doesn't live there now, as I have recent court papers which show him to live in a different address.
The Land Register also shows that he has a mortgage lender on the property I rented.

Should I be looking to report him to his mortgage lender? is that the jist of this thread?

theartfullodger

Is he suing you or are you suing him?

If you suing him I'd suggest contact landlord, point out you know & suggest he pays & you won't tell lender. If you get money tell lender anyway.

Wonder what else he is fiddling- tax, benefits (if claiming benefits & not admitting extra income)

We don't want cheats in our country..

Ghostrider

I personally rent my property out without having gained any consent from my mortgage company, and have done for years.

The reason I do this is because my mortgage company used my situation as a hook to try and tie me in for a fixed term BTL mortgage with heavy breakage costs and wouldn't agree to my letting otherwise. That didn't suit me as I needed to be flexible so I ignored it, sent them a snotty letter telling them that I would go ahead regrdless and wouldn't be forced into a financial product that didn't suit me and would complain to the FSA if they persisted, should they have any further rejections then to contact me. It's been 3 years now and never had a problem since.

In the event the Bank did decided to terminate my mortgage or change my terms then there is no risk to my tenant as he is aware he is on a month to month agreement anyway and I can evict him should the need arise.

It should be considered on a case by case basis, and if banks are trying to push a product that doesn't suit they need to tread a fine line these days, and they know it. They also know that sometimes it makes more financial sense to have a tenant paying the mortgage on a property rather than forcing the landlord to leave it empty and try paying a mortgage without rental income, so they will roll over if pushed.

Don't be bullied by your mortgage lender, and don't be scared.

I'd also be interested to know of any case where this has actually happened in reality and that a tenant has been forced out of their home?

prudryden

Ghostrider wrote: »

I personally rent my property out without having gained any consent from my mortgage company, and have done for years.

The reason I do this is because my mortgage company used my situation as a hook to try and tie me in for a fixed term BTL mortgage with heavy breakage costs and wouldn't agree to my letting otherwise. That didn't suit me as I needed to be flexible so I ignored it, sent them a snotty letter telling them that I would go ahead regrdless and wouldn't be forced into a financial product that didn't suit me and would complain to the FSA if they persisted, should they have any further rejections then to contact me. It's been 3 years now and never had a problem since.

In the event the Bank did decided to terminate my mortgage or change my terms then there is no risk to my tenant as he is aware he is on a month to month agreement anyway and I can evict him should the need arise.

It should be considered on a case by case basis, and if banks are trying to push a product that doesn't suit they need to tread a fine line these days, and they know it. They also know that sometimes it makes more financial sense to have a tenant paying the mortgage on a property rather than forcing the landlord to leave it empty and try paying a mortgage without rental income, so they will roll over if pushed.

Don't be bullied by your mortgage lender, and don't be scared.

I'd also be interested to know of any case where this has actually happened in reality and that a tenant has been forced out of their home?

Spot on. A bank will always assess the risk/reward and the quality of the customer. A person with several properties and loans and good credit will get more consideration than a person with one property and bad credits. A bank will make a little more on a commercial loan (BTL) than a normal mortgage loan, but not an extraordinary amount so there is some room to negotiate.