consent to let and a new mortgage?

jolester

Hi,

Hope you can offer some advice to me.

My partner and I both have separate mortgages but would like to live together and buy a house together.

We are thinking of "consent to let" from our lenders before potentially doing a buy to let as we're not sure whether or not we'll want to sell at least one of our current houses in the near future.

Q1. My mortgage is a tracker with Santander and his is a fixed rate with Halifax, are these lenders likely to allow us to pay the "admin fee" and keep everything else with our mortgage rates the same?

Q2. My OH has only had his mortgage since May 2014, is this likely to pose a problem?

Q3. If we get consent to let agreements from our current lenders, how is this likely to affect the deposit we require for a new mortgage and also will it affect the amount we are likely to be able to borrow?

I hope someone can help - preferably in laymans terms !!

Many thanks

kingstreet

Lender policies on CTL vary. You need to ask yours.

On a new residential mortgage, you need a lender which will treat the let properties/mortgages as self-financing, otherwise you'll be expected to be able to afford all three mortgages from your incomes, reducing what you can borrow.

Some lenders will offer a reduced maximum LTV for "second properties" so look carefully, or have a broker do it for you.

Foxy-Stoat_3

Just got CTL with Halifax - the rent needs to be 25% more than the mortgage and your LTV needs to be 75% max, also no one living the house must have diplomatic immunity !!!??

All mine was done and dusted in 24 hours after I filled in and returned the Consent to Let Forms for the remaining length of my fixed rate, 20 months.

Read up on becoming a Landlord and keep a lump of money just in case, its not for everyone and not as easy as getting someone else to pay the mortgage !

Good lucks

amnblog

jolester wrote: »

Hi,

Hope you can offer some advice to me.

My partner and I both have separate mortgages but would like to live together and buy a house together.

We are thinking of "consent to let" from our lenders before potentially doing a buy to let as we're not sure whether or not we'll want to sell at least one of our current houses in the near future.

Q1. My mortgage is a tracker with Santander and his is a fixed rate with Halifax, are these lenders likely to allow us to pay the "admin fee" and keep everything else with our mortgage rates the same?

Q2. My OH has only had his mortgage since May 2014, is this likely to pose a problem?

Q3. If we get consent to let agreements from our current lenders, how is this likely to affect the deposit we require for a new mortgage and also will it affect the amount we are likely to be able to borrow?



I hope someone can help - preferably in laymans terms !!

Many thanks

These mortgages in the background can be major complications when considering a new mortgage. It is important to select the right lender for the new purchase - hence you should use a broker.

We have a list of consent to let policies for major lenders on our website. PM me and I will send you a link.