Remortgaging no indefinite leave to remain

jamrob78

My wife owns a house we’d like to remortgage. She currently has a spouse visa with 2 years remaining as she’s a Russian citizen. Her mortgage is with Halifax and she has consent to lease as we rent the house out (it used to be our main residential address). We now need to remortgage to a buy to let mortgage with another lender, but every broker and high street lender we’ve approached are unable to offer her a remortgage on a buy to let basis due to her immigration status, even as a joint application with myself, a UK citizen, the banks and brokers are unable to help. What options do we have left other than selling? Would her current lender give consent to lease for longer than 3 years? We did look at her selling the house to me so I could remortgage it, but not sure what the stamp duty implications would be. If anyone could offer any advice it would be greatly appreciated!

Thanks

SDLT_Geek

If she sells the house to you then you will pay stamp duty land tax on the purchase price. Presumably that will have to at least enough to pay off the Halifax mortgage. The new lender might require it to be the full value so that there is no transfer at undervalue.


The good news though is that the higher rates of SDLT should not apply. A change in the Autumn Budget means that from 22 November 2017 transfers between spouses are not liable to the 3% surcharge. That is the case even though the property is let out and even if you own other properties.

John_Jones

Is she not able to apply for indefinite leave to remain?

jamrob78

It!!!8217;s 5 years before she qualifies for indefinite leave to remain unfortunately. Consent to lease is only available for 3 years unless Halifax are able to extend this.

jamrob78

Thanks for the advice. Would I be due a stamp duty refund on our joint purchase last year (October) if I have to pay again when I buy it from my wife?

Thanks

SDLT_Geek

No refund is available in these circumstances usually. Did you pay normal rates or higher rates of SDLT?

jamrob78

Thanks. We paid the higher rate as a result of my wife owning the house we’re now trying to remortgage.