Consent to let/BTL/Sell

80schild

We currently have a buyer for our house but he is paying well under market value-for what he said would be a fast sale but he is actually taking ages. We are losing patience fast and want to go back to what was our origional plan of renting the house out for a few years in oder that we can purchase a new house (already got a sale proceeding on it but can't complete until our current home is either sold or put on a BTL mortgage).

I applied for consent to let with NRAM a few days ago but obviously not heard anything yet. Am now thinking what I would rather do is remortgage with a BTL mortgage in order to release a bit of equity to add to the contingency fund (we have money from parents already in this).

Will the fact that I applied for consent to let effect a new application for a BTL remortgage (hopefully I can ring them and cancel the application). I don't mind if I have to pay the administration fee as its only £100. I just did the appplication in a moment of frustration and desperation without discussing with my mortgage broker (as she is a nightmare to get hold of) but she has now said to my husband we are better going for the BTL remortgage than consent to let.

Crashandburn

The consent to let shouldnt affect any BTL application

As for switching from NRAM to BTL..........All depends on the loan to value. BTL could go up to 85% of the property value but more like 75% loan to value. Against this, the rate and fees will probably be higher than that being offered on the standard rate with NRAM (if indeed you are on the standard rate). If NRAM allow you to let the property, then this may work out cheaper than a buy to let (as long as they dont try and increase the rate by say 1% for the privilege).

Them giving you the consent to let wont resolve the issue of releasing equity though.

As for the new house purchase (if thats whats happening???!!), then look for lender who doesnt need to see sight of the consent to let during the application process.........but you will need to still get it at some stage.

80schild

We have 70% ltv (I think-it confuses me lol) . I wasn't bothered about releasing equity til the mortgage advisor said it would be a good idea (maybe they earn commission for getting us to take a new mortgage deal??). I presume that consent to let would be faster too. Our only issue is the mortgage is only in my name and my income is only 11k (it was 23k when I got the mortgage). It has never been an issue as my husband lives with me and his wages pay to the mortgage too-not sure if this would affect consent to let-if I would need to get him added to the mortgage (in which case we may as well remortgage elsewhere?)

We have a mortgage offer from the Nottingham-all is done but they won't release funds until the mortgage is repayed to NRAM or we convert to Buy to Let/consent to let.

Thrugelmir

80schild wrote: »

We currently have a buyer for our house but he is paying well under market value-for what he said would be a fast sale but he is actually taking ages. We are losing patience fast and want to go back to what was our origional plan of renting the house out for a few years .

Firstly you apply maximum pressure to see if your buyer is genuine before considering other options. What's the cause of the delay?

80schild

The source of the dalay is the buyer's solicitor being extremely slow as its not a case that's going to earn him much money (cash sale, no searches no survey) so is no doubt his lowest priority (however the only reason we took the very low offer from these cash buyers was cos they said they would be very fast).

It took the solicitor 2 weeks to raise some very basic enquiries (e.g. can you confirm you will notify united utilities of change of ownership) and everytime the buyer, estate agency or my solicitor tries to get hold of him he is 'out of the office'

Thrugelmir

80schild wrote: »

The source of the dalay is the buyer's solicitor being extremely slow as its not a case that's going to earn him much money (cash sale, no searches no survey) so is no doubt his lowest priority (however the only reason we took the very low offer from these cash buyers was cos they said they would be very fast).

It took the solicitor 2 weeks to raise some very basic enquiries (e.g. can you confirm you will notify united utilities of change of ownership) and everytime the buyer, estate agency or my solicitor tries to get hold of him he is 'out of the office'

Solicitors work under instruction from their clients.;)