can someone help out a noob

zedyy

I'm in the process of looking for a house, not considering buying JUST YET, but more like window shopping but if anything catches my fancy i might bite.

I'm currently living at home with parents - my question is, can i buy a house with the view to renting it out to tenants despite the fact that i will have a standard mortgage on the property LVT will be 80%? I'd like to SAVE as much as i can and end this mortgage quicker this way.

Is this OKAY? im not looking to run a business as a property tycoon, just want to help kill off the repayments.

Thanks in advance.

superfran_uk

You will need a buy to let mortgage, and the repayments will generally be higher. If you live in it first then you should be able to let it out but only with permission from your lender.

zedyy

Woah, thanks for the super quick reply.

That's bogus!

So what your saying is I'm allowed to do it once i get permission from my lender AFTER ive lived in it? OKAY now whats the chances the lender will actually say yes?

And if i decide not to tell my lender what is the worst that can happen?

zedyy

Also, is it possible to put tenants in this house if they are on DHS once i have a mortgage on the property?

superfran_uk

zedyy wrote: »

Woah, thanks for the super quick reply.

That's bogus!

So what your saying is I'm allowed to do it once i get permission from my lender AFTER ive lived in it? OKAY now whats the chances the lender will actually say yes?

And if i decide not to tell my lender what is the worst that can happen?

The absolute worst that can happen is that you are found to have broken a term of your mortgage agreement and they decide to call in the mortgage i.e. leave you with the balance to pay. This could lead to reposession. Theoretically.

Or your tennants burn the place down, and your insurance would not pay.

There are plenty of threads about this if you do a quick search...

Dinah93

There are a lot of expenses that come with being a landlord, you can't cut corners, this attitude really doesn't say you are responsible enough to take on a BTL property.

clutton_2

60% of professional landlords are no longer taking on DSS tenants (NLA survey)

70% of Section 21 notices are thrown out by the courts due to being incorrectly completed (court statistics)

if you dont know what any of the above means - you need to spend a few months reading about what it means to be a landlord

try

www.landlordzone.co.uk
www.singingpig.co.uk
www.propertytribe.co.uk

Thrugelmir

zedyy wrote: »

I'd like to SAVE as much as i can and end this mortgage quicker this way.

Is this OKAY? im not looking to run a business as a property tycoon, just want to help kill off the repayments.

Thanks in advance.

Why do believe that the rental income will help repay the mortgage?

Have you done costings?

PasturesNew

Here's a precis: I believe the papers when they say property prices go up, so I want to get a liar loan and rent to some really dodgy types. I will probably break some laws along the way, but hey if I don't know what I'm doing it doesn't count, right?

(... and I'll get a free house/be a millionaire)

Thrugelmir

PasturesNew wrote: »

Here's a precis: I believe the papers when they say property prices go up, so I want to get a liar loan and rent to some really dodgy types. I will probably break some laws along the way, but hey if I don't know what I'm doing it doesn't count, right?

(... and I'll get a free house/be a millionaire)

Lets try and be educational and helpful on this forum.

PasturesNew

Thrugelmir wrote: »

Lets try and be educational and helpful on this forum.

27,000 people have so far found me thus.