Acceptable reason to consent to let

3conheo

Called mortgage express this morning to get a consent let while speaking to them they have said they will send an information pack out and application the gent did they on the form it will ask what the reason for the consent to let so i am thinking what would be acceptable as i need to rent it out as i am buying a new house with a mortgage would this be acceptable? Mortgage taken 2007 of 115k on on a 120k propety balance now 102k

Thrugelmir

Working in another part of the country or temporarily abroad are the standard reasons.

as i need to rent it out as i am buying a new house with a mortgage

The retort from the lender might well be why not sell it?

3conheo

Neg equity which is the reason

GMS

Whatever an acceptable reason is, the truth needs to be told.

Have you looked into the requirements of being a landlord? Will the rent be sufficient to cover the mortgage and provide an excess?

Thrugelmir

3conheo wrote: »

Neg equity which is the reason

As Mortgage & Express is now part of NRAM following the demise of B&B. They are probably very tight on CTL.

3conheo

Rent will def be enough mortgage £254 rent would be £550 i am curently overpaying the mortgage each month of about £800 extra for the past 18 months and will keep doing so.
I will tell the truth but am afraid it will get turned down which i would need to raise large amount for deposit to remortgage on to a BTL

bigadaj

What rate do you have on your mortgage as the repayment seems very low, is it interest only. The lender may also load the rate for a content to let, so your costs may go up, though if you achieve the stated rent then still quite profitable.

The other thing to consider is that it might be worth selling and paying off the balance, your over pay,nets might be better invested elsewhere.

3conheo

Rates are 2.58% interest only which is a very good rate i am considering selling but also want to have a BTL portfolio which i would b ready next year for this property money is not an issue when paying for things but got alot going on with this new house.
Dont mind if they even increase the rate to get off the hassle

Thrugelmir

3conheo wrote: »

Rent will def be enough mortgage £254 rent would be £550 i am curently overpaying the mortgage each month of about £800 extra for the past 18 months and will keep doing so.
I will tell the truth but am afraid it will get turned down which i would need to raise large amount for deposit to remortgage on to a BTL

Lender may require a switch to a repayment mortgage from interest only to grant the request. Is this affordable?

3conheo

Yes affordable as i am currently overpaying £800 for the past 18 months and plan to keep doing so

Typhoon2000

Then maybe you should start making plans to move abroad for a year. You can always change your mind later I suppose.