Does anyone know what the Halifax Consent to Lease mortgage rates are at the moment?

Victoria17

Hello Everyone and Happy New Year!

Does anyone know what kind of rates to expect for a Consent to Lease Mortgage with Halifax? Is it much higher than their Tracker mortgages and their Standard Variable Rate?
Also i heard there used to be a 499 Pound fee to go on their Consent to Lease Mortgage, is that still the case?
Thank you for your help!!

tollwoodtreasures

Hi Victoria, not sure of the rates but am interested to know why you need to know them!
We are about to go down the road of advising the Halifax of our decision to let out our house.
Have you contacted them yet? I am a bit scared that they can say no!

I was just wondering what experience you may have with all this as we are new to the situation!

Many Thanks

Emily

pritsim

i am inthe same siutation as well...i m goin away in 2 months for a year out..and wnat to let out from 1st of march..for at least 12 months..would like to knw as well .but scared they might move me on to a higher deal..currently i ahve 60% ltv on my property...and a very decent mortgage...boe +0.79 on top..really dnt want to change this for 12 -24 months

Victoria17

Hello,

I am not an expert but let me tell you how it happened for me.
I bought a flat, lived in it, and after a year i decided to let the property out. I had no idea i had to ask Halifax for their permission, so i just did it. When over a year later i finally got around to asking Halifax not to send my post to that address anymore, they asked me why. I told them i was letting the flat and living somewhere else. They didn't seem too bothered, but my mortgage adviser said i should have asked for a Consent to Lease before, so he was gonna fill out the form and send it off for me. He said it was just a usual procedure, that i had nothing to worry about. He was right, i did receive the approval a while after.
On the day that same day that i saw my adviser, i'd signed for a new mortgage, cos my original one had ended and i'd been put on theit Standard Variable Rate which, at the time was super high.
I went travelling for months and didn't realise that there had been a mistake from Halifax, and that my new mortgage hadn't taken place at all. When i got back i hadn't received any letter telling me there was a problem or anything. But i quickly realised i was still on the Standard variable rate, which was not the best deal at all! So i went to Halifax to complain. And the adviser, one i'd never dealt with before, advised me off the record to keep quiet about it all because now i was officially a Consent to Lease customer on their system, i wasn't allowed to be on a Tracker or even their Standard Variable Rate anymore as is still the case at the moment... He explained that i'd have to go on a Consent to Lease Mortgage, that the rates were higher, and that there was a 499 Pound fee everytime you renew it which i believe is every 2 years but i'm not sure... He said they'd obviously made a mistake not making me go on such a rate.
Now i don't know if i'm better off keeping quiet like he said and staying on the Standard Variable Rate for as long as possible or if i should go forward and see my adviser and find a new mortgage deal. Does anyone know which option is in my best interest? Please help it's stressing me out...

Merci!

Yayfur

Hi

IF is the online version of Halifx I believe and I have my mortgage with them. I am going to work abroad and have to let out my flat. I called to ask for consent to lease and they advised me the fee is 1% per annum of the total mortgage amount, 0.5% at the start of the leasing and 0.5% every six months after that.

So I guess they will say yes to everyone, but it is going to put me in the red because the rent was going to just cover the payments when I come off my tracker. No mention on the forms about different rates, so I assume my rate goes up to their standard variable in September as expected.

Can they really charge this much? It feels insane that they are making it near impossible for me to afford my mortgage by adding this charge. I do not have much choice, I either pay them the money and continue to work by going abroad or stay in the UK and get made redundant.....

Banks eh?

Kynthia

Victoria17
I'm no expert but you currently have permission from your lender to lease the property, which is good.
You are currently on the SVR which I believe is 4.5% at present? You have no arrangement fee and no redemption fee, so you can leave anytime such as if the rate increases.
If you can find a Buy to Let mortgage at less the 4.5% and with a low arrangement fee then move, otherwise I can't see that you have anything to worry about. I think you've been lucky as you could be paying more.

Anyone, am I wrong???