Alliance & Leicster interest only Mortgage - Remortgage

melaniejade7

I wonder if anybody had any experience, I have had a A&L interest only mortgage for 4 years now on my 1 bedroom flat. I am looking to move in with my partner to his property as it is bigger and with the current market and valuations it doesnt look like I will be able to sell my flat without making a loss.

I would like to rent my property out and wondered if anybody knew if Alliance and Leicster permit this based on my current mortgage.

I have looked at other mortgage lenders and see that in general a 75% LTV is required in order to get a buy to let property but unfortunately my LTV is only 87% and I dont have any spare funds to improve on this. I am not even sure if A&L offer buy to let mortgages.

I obviously dont want to sell my flat at a loss and dont want it to sit there empty whilst I struggle to pay the mortgage there and a contribution towards my partners house.

If Alliance and Leicster were to decline me a buy to let mortgage and decline me permission to let out the property on my current interst only mortgage what would happen?

You feedback would be most apprreciated.

msw_2

hi,
I have an A&L mortgage, we decided to rent out the property for one year. We applied for 'consent to let' and they granted it for 12 months. There was a £95 fee for this. THey review it each year and you pay the charge each year. Everything else (interest rate etc etc) remains the same. This means you don't need to remortgage. Not sure if this is the same on all A&L mortgages but you could ask, think it is also mentioned in the key facts document you should've got when you took the mortgage out.

getmore4less

melaniejade7 wrote: »

I wonder if anybody had any experience, I have had a A&L interest only mortgage for 4 years now on my 1 bedroom flat. I am looking to move in with my partner to his property as it is bigger and with the current market and valuations it doesnt look like I will be able to sell my flat without making a loss.

I would like to rent my property out and wondered if anybody knew if Alliance and Leicster permit this based on my current mortgage.

I have looked at other mortgage lenders and see that in general a 75% LTV is required in order to get a buy to let property but unfortunately my LTV is only 87% and I dont have any spare funds to improve on this. I am not even sure if A&L offer buy to let mortgages.

I obviously dont want to sell my flat at a loss and dont want it to sit there empty whilst I struggle to pay the mortgage there and a contribution towards my partners house.

If Alliance and Leicster were to decline me a buy to let mortgage and decline me permission to let out the property on my current interst only mortgage what would happen?

You feedback would be most apprreciated.

that is bad logic, do the invenstment numbers as a rental.

Would you buy this place and become a landlord if you could get the same mortgage with the deposit money you will extract if you sold.

If not why keep the place?

Will it make money as a rental(if not you are delaying costs and property speculating)
What sort of gross yield
Do you want to become a landlord.

Keeping the place a bolthole should your relationship fail is a more reasonable reason to keep it.