Mortgage with Consent to Let plus new mortgage

Markie11

Hey, hoping that you guys may be able to offer any assistant with my current predicament.

First of all I bought an apartment nearly 6 years ago for £150k. The mortgage was 95% LTV taken out with NR. After two years at interest only and the remaining 4 years at full repayment, it is now down to £130k outstanding on an SVR with NR @ 4.79%.

The predictament I'm in now is:
- We're looking to relocate back to the North East of England, currently in the East Midlands so need to sell up to make the move with the option to temp live with parents until we get in new home.
- We have enough deposit wise to get us a decent start on next home, well say decent 85% LTV or thereabouts.
- The apartment was valued between £135k and £140k around the beginning of the year. This would have been about enough to pay off mortgage, the estate agency fee and any solicitor fees. There or thereabouts. As an incentive for quick sale, we've also put it up without chain.
- Unfortunately the apartment hasn't really gained a great deal of interest (total of 4 viewings), in all honesty this hasn't surprised me, though I thought we would have had a few more than this.
- The estate agent is asking us to push down the price, originally up for £140k now saying put it up at £130, has since moved to £135k in the meantime. We think the estate agents aren't marketing it as well as they could and looking for easy sell. Their payout not much difference on 5k difference.

So we really want to go back home to the North East.
What are my options:
1) Drop price down really low to get a sale and have to pay mortgage difference off with some of current deposit savings. This means we would have to attempt to get a higher LTV mortgage or stay with folks (with young toddler) for longer than expected.
2) We approach NR and ask for 'Consent to Let' on current mortgage deal.
- What do you think there chances are for accepting us? Relocation reasons as criteria???
- Would it be sustainable? could get about 650-700 pcm.
- What would then be available to us later on, Mortgage wise with any other lender given that we already owe on another?
- Maybe in a few years time decide to keep it the apartment or sell up because the prices would allow us to sell at a price that would pay off outstanding mortgage amount.
3) Staying where we are is not an option.

Thrugelmir

Assume that you are currently in employment. So stick it out. Continue to pay down the mortgage as quickly as possible. Wait for the property to sell.

Property does take time to sell. So be patient and take a longer term view.
When I purchased my current property, we had to make an offer within 24 hours to secure it. As property locally sold so quickly. Within a few hundred yards, 2 properties have been on the market for over 6 months. Both with price reductions. Times have changed.

Crashandburn

NR are funny at giving consent to lets. Finding a new lender with 15% deposit for a home in the NE is not the issue.....that should be straight forward to do as long as rent stacks up.

The relocation could help swing things with NR but it is a case by case and usually only in place for 12 months with them

Without knowing your current mortgage payment, hard to see if current place will be self-funding which will be one question asked of the new lender on the NE property