Vicars and mortgages!

rufus31

Hi
I was wondering if anyone could kindly point my husband and myself in the right direction? We have quite an unusual situation but I hope we're not the only people to experience anything like this!
We are very fortunate to live in a house tied to my husband's job as a church minister. However obviously that will only be the case for the course of his career. So we're both keen to make some provision for a home of our own for the future but are really unclear about the mortgage options. His work is not very helpful with advice on this front either.
My husband's work does have a retirement housing rental scheme but it may not exist at all by the time we reach that age, so we're keen to make our own plans.
Ideally we'd like to rent the place we bought out, while we're not living there - so I was wondering whether it would be at all possible to find a residential lender who might allow us to do this, via consent to let - although I realise the chances are slim.
Buytolet also looks like it might be difficult.
We have around a 10 to 15pc deposit - way off the huge one that we'd need to get a buy to let mortgage where we live - although we could save a bit more. We also don't own a home elsewhere. But if there are buy to let lenders that are a bit more relaxed on this front and asked for a say a 20pc deposit, that could be a possibility - although I'm not sure they exist!
The other complicating issue is that there is a possibility that one of us may well need to live in the house long before retirement - although this is not certain. My husband's job can mean that in theory he can be posted anywhere in the country with little say in the matter.
We will certainly have to move several times at least during the course of his career. Although this may well be not be too far away and any disruption minimal, I'm finding the idea of being powerless in this regard a bit worrying. My industry is tied to a certain part of the country and I'd like to progress my own career as well. We're keen to have a stable base where if the worst came to the worst I could stay a few nights a week.
We'd have around a year's notice of any move.
Finally I understand that in some very exceptional circumstances you can sublet with Help to Buy. It says this in the FAQs on the HTB website but the example it gives is someone in the armed forces. Would this be at all possible in our situation?
We're not looking to make a profit we just want to plan for our retirement and possibly have a stable base before prices just get completely out of reach for us.
I'd just be keen to get some of your thoughts!
Many thanks for your help in advance.

kingstreet

rufus31 wrote: »

We are very fortunate to live in a house tied to my husband's job as a church minister

Ideally we'd like to rent the place we bought out, while we're not living there - so I was wondering whether it would be at all possible to find a residential lender who might allow us to do this, via consent to let - although I realise the chances are slim

Buytolet also looks like it might be difficult. We have around a 10 to 15pc deposit

We don't own a home

buy to let lenders that asked for a 20pc deposit that could be a possibility

Finally I understand you can sublet with Help to Buy. It says this in the FAQs on the HTB website but the example it gives is someone in the armed forces.

Find an independent mortgage broker. Ask friends and relatives for a recommendation. It will be the quickest way to establish what is possible.

Consent to let from day one on a residential is unlikely with a mainstream lender.

There are 80% BTL products, but matching this to your lack of home-ownership is definitely a broker job.

For help with HTB post-sales issues, such as letting the property, contact the HTB Agent which handles this, HOP;-

http://www.myfirsthome.org.uk/schemes/help-to-buy/subletting

However, as mentioned earlier I suspect you won't be able to buy with a residential mortgage in the first place, so this may be moot.

ACG

Your not going to get a residential mortgage with consent to let. Consent to let is there as an option if your circumstances change (ie new job in another city, or you want to go traveling etc). Its not there to effectively overcome a shortfall in deposit for a buy to let.

As above, find a broker. There are some BTL lenders who will allow you to purchase with a 15-20% deposit - although rates will be higher. Not owning your own residential property could be an issue but under the circumstances im sure there could be a way around it.

With regards to the second issue,you cant live in a property that is let out. That being said, if you have a years notice and your are not tied in for more than 12 months it should not be an issue as you can then remortgage the proeprty onto a residential mortgage.

One for a broker regardless I think.

waveneygnome

Hi Rufus.

I think you are very wise to be considering this option. I have friends in similar position to yourselves, and they have gone down the BTL route.

They have decided to buy a property in a place where they would like to retire to......bit difficult to imagine if its 30 odd years away.

But otherwise, where do you decide? Not the place where you are currently posted - you know you will be moved. You could argue, that as a BTL should be treated as a business - then you simply buy a property in an area that will give you a good return....which could be many areas in the country. Hence my friends choice for where they would like to retire to.

In looking for morgage companies, have you tried Ecclesiastical...they have some experience in dealing with your husbands profession!

Lastly, I would say don't be afraid to ask friends/family for a little bit of help towards the deposit to take you up to 25%. Their parents/relatives were more than happy to chip in to help them plan out a long term future.

It has given much peace of mind to all concerned.