consent to let then maybe buying other house

pennie_field

Hello, just seeking some advice here. I will try to explain all

I recently obtained Consent to let with my mortgage provider, and have a tenant in the house now.

When I was granted consent to let the mortgage provider said I will be free to apply for another residential mortgage if I wanted. I never thought about it at first, but now I am.

So I am asking which other mortgage providers will ignore that I have the other house on consent to let, Are some more lenient than others?

Do I have to tell them about the other house, being consent to let
If the other house became empty I can still afford both mortgages.

advice needed please xx

amnblog

Lenders have varying attitudes to let properties in the background and you are right to flag this up as an issue.

The issue is not whether you believe you can afford both mortgages, but if lenders calculate you can.

Some lenders require the property to have been let for a specified period of time before they will consider it self funding. This is typically 6 months but can be 3 years for some lenders.

If the monthly rent is 125% of the mortgage payment you have more lending options, but some lenders want it to cover by 150%.

This is one to put in front of a broker or you can trip up.

pennie_field

amnblog wrote: »

Lenders have varying attitudes to let properties in the background and you are right to flag this up as an issue.

The issue is not whether you believe you can afford both mortgages, but if lenders calculate you can.

Some lenders require the property to have been let for a specified period of time before they will consider it self funding. This is typically 6 months but can be 3 years for some lenders.

If the monthly rent is 125% of the mortgage payment you have more lending options, but some lenders want it to cover by 150%.

This is one to put in front of a broker or you can trip up.

Thank you for your reply, I have done a quick calculation and the rent cover against the mortgage is just about150%

And I have only let it for 3 months so far.

If I decide to go ahead I will put all points forward to any mortage broker thank you again

ibz75

I am currently doing something very similar. Gained CTL in March 2013, put tenents in place, rent covers mortgage payments (repayment), and now only a few weeks away from exchanging on a new residential property. Existing/new lender had no problems with this so far.

I would strongly recommend you speak to a broker who will assess your needs and find a suitable lender to accomodate.

If you would like details of my broker (a long standing MSE member) feel free to PM.

pennie_field

ibz75 wrote: »

I am currently doing something very similar. Gained CTL in March 2013, put tenents in place, rent covers mortgage payments (repayment), and now only a few weeks away from exchanging on a new residential property. Existing/new lender had no problems with this so far.

I would strongly recommend you speak to a broker who will assess your needs and find a suitable lender to accomodate.

If you would like details of my broker (a long standing MSE member) feel free to PM.

Thank you for your help, I will PM you for your Broker details