Buying a second home...

JTH295

Hello MSE,

This is the situation..

I currently have a mortgage on a home I own by myself but i'm looking at buying another home with my girlfriend on a joint mortgage. I'm keen to keep the home I already have and probably rent it out. Any info on what the restrictions (if any) would be with this or if it's even a good idea would be much appreciated?

I would normally just phone my mrotgage advisor but currently on Operations with the RAF and don't really fancy using my valuable talk time back home waiting on hold for 20 mins!!

Thanks

J

Wh05apk

You will need "consent to let" before you rent out your existing property, many lenders will allow forces personell to rent out their properties on a residential mortgage anyway, so hopefully it should be a formality, who is your lender?

With regards the new joint mortgage, again "most" lenders will ignore the existing mortgage if the anticipated rental income exceeds the mortgage payment, some may require 25% excess or more, or need the property to have been rented for a cetain period to confirm rent.

Beacuse of the abov restrictions I would recommend using a broker to identify the best lender or your situation.

JTH295

Thanks for the quick reply!

I'm currenty with Lloyds, I do vaguely remember them saying something about being able to rent it out on a residential mortgage but would they be happy with this if I'm actually looking to purchase another property?

notrouble

Apart from the mortgage implications, there's a lot to be aware of regarding letting your property.

I'd advise posting for info on the house buying and renting forum.