Mortgage lenders that permit lodgers

Tardigrade1

Hello,


I've seen similarly titled threads but the responses appear very inaccurate. I'm hoping my more specific post will get a more certain answer on a topic that google doesn't offer much help for.


I'm a first time buyer. I plan on utilising one or two of the rooms in my house for lodgers. I will not create a tenancy. I want a mortgage provider that will be OK with this. I am not talking about AirBnB lets / short letting. I will be resident throughout; they will be excluded occupiers.


I've seen answers to this question stating some variation of "you don't need to tell the lender as it isn't a tenancy". Every T&C clause I've come across covers licences. A lodger does have a licence. I've not seen any T&Cs so loosely worded that lodgers would not need to be at least notified. Has anyone else? If so, which?


So, assuming everyone requires notification, who has a history of saying yes without imposing onerous increases in charges?


Lastly, if everyone is the country is operating on the basis of breaching their T&Cs...what is the typical outcome of being caught? I've seen one explicitly state +2% interest rate penalty. Others simply forbid, with no talk of consequences.


Thanks for all help in advance!

ACG

Most lenders will allow you to have a lodger, im not sure about 2 or more however.

You can not use their "rent" as a form of income to allow you to purchase a more expensive property however.

lee111s

I know people who've never mentioned it to their lender. It's not like they'd ever find out.

Tardigrade1

Thanks for the replies. Anything more specific re: names? It's not been my experience that lenders are helpful in this area and my broker appears to think not telling is the most viable approach.

ACG

Ask your broker to ask the lender and get something in writing from an account manager before applying. I do not think lenders would have an issue either, but if it is something you are concerned about you are right to press for confirmation before making an application.

I can not provide a list of lenders as it could be seen as leading..and it is also not something I have a list of.

Tardigrade1

I have, and the response so far has been "we won't pre-approve, try your luck once you have the mortgage". Hence this thread. But thanks anyway at least there seems to be hope somewhere.

ACG

Who are you applying to?

Tardigrade1

Accord, the intermediary only guys

ACG

Theyre not really a lender I use so im not much help there.

Tardigrade1

No worries, thanks.