First-time buyer converting to BtL

HairBearHero

Hi all,

This is a theoretical question, but it's a likely scenario in the near future for me so any advice would be appreciated!

My girlfriend and I are planning on buying a flat in the next 2 years. The plan thereafter is to live in the property for a couple of years, building up our savings again, and then head off around the world on a sabbatical and renting the property out. When we return from travelling, the idea would be to move back in to the property.

What effect on our mortgage would this have? Would it affect the government bonus from H2B/LISA? Would we need to re-apply for a BTL mortgage?

Similarly, what's the impact of occasionally renting our property out on AirBnB?

sevenhills

I believe my mortgage provider(Coventry) would charge me 1% to change to a BTL.

dimbo61

Different lenders have different views on this so again you might be well advised to speak to a Mortgage broker.
Telling the staff at your local building society may well result in the Computer Say No

Thrugelmir

HairBearHero wrote: »

Would it affect the government bonus from H2B/LISA?

Would we need to re-apply for a BTL mortgage?

Similarly, what's the impact of occasionally renting our property out on AirBnB?

None as far as the bonus is concerned. As that is paid on purchase of the property.

You'd require Consent to Let.

Very few lenders allow such letting. for the majority AirBNB is in breach of the mortgage term and conditions.

Hope you have a back up plan should the tenant not pay the rent while you away. You'll also have to pay for a managed letting service. As obviously you won't be in a position to pop round and resolve issues.

You may find it hard to let a property on a short term basis. Also you need the tenant to vacate or you could be homeless upon your return.