Buy to let question

Wullie72

My mortgage deal is up on my flat soon.
My current lender, Clydesdale Bank, are aware that my flat is let out and were happy to permit this without moving to a buy to let mortgage. They did say that at the end of the 2 year deal I would have to change to a buy to let mortgage.
I own 50% of the property value.
Does anyone know if I have to change to BTL?

betmunch

Wullie72 wrote: »

My mortgage deal is up on my flat soon.
My current lender, Clydesdale Bank, are aware that my flat is let out and were happy to permit this without moving to a buy to let mortgage. They did say that at the end of the 2 year deal I would have to change to a buy to let mortgage.
I own 50% of the property value.
Does anyone know if I have to change to BTL?

You have to change to a BTL if they withdraw Consent to let, from your post it seems they are doing this at the end of your 2 year deal.

You need to find out from them if they are withdrawing consent to let to make you decision.

Wullie72

I was wondering if there was a set percentage of your property you could own without having to take out a BTL as my step-son was told by his provider that as he owned more than 25% of his property value he didn't need a BTL. Just wondering if that is just with one provider or an industry standard?

betmunch

Every profider has different rules, and they are subject to change.

Unfortunately, unless your Step-son is with Clydesdale as well then anything they say to him is irrelivant to you.

Although, in all cases you will need permission to let the property, it should like they grant it if there is 25% equity in said property.

Wullie72

Cheers, time to get a bit of shopping around done.

betmunch

I would ask Clydesdale if they will extend their consent to let first, unless you have already done this.

Worst they can say is no and you need to get a proper BTL mortgage, which is what your doing anyway!