Let Northern Rock know developers want to buy half my garden for 75k?

lombrozo

My brother and I have had a joint mortgage with Northern Rock for nearly 2 years now, the fixed period expires in August.

Some developers want to buy half our back garden for 75k, along with two other gardens they plan to build 6 flats.

The option agreement has been drawn and if planning permission is granted they will exercise it within 12 months.

Do I need to let Northern Rock know about this?

STOTTYCAKE_2

I'm almost certain you will have to tell them as in theory until you pay off your mortgage they have an interest in the house. In addition, if it devalues your house and the equity in it is less than your mortgage they won't be happy. I think a solicitor will advise you that you can't do this without informing Northern Rock.

danlightbulb

I'm presuming that you have had an independant valuation of how much half your back garden is worth?

And you should also find out what your house is worth now, and what it will be worth with half less garden and a whacking flat development at the back of it.

Noz

NR will definitely need informed as they will hold the first charge over you property (including garden). No sale could complete without NR's agreement.