Mortgages / Airbnb

pioneer22

I was reading an article about Airbnb and your mortgage company and you will need to ask for permission.

Providing you pay your mortgage every month why is it any of their business?

[Deleted User]

You cna do what you want with your own property.... Just make sure to repay all that money they gave you and you signed for saying you were going to live in the house and not rent it out.

A contract is a contract, don't like the terms of it then don't sign it.

If you want to rent out as Airbnb just move to a lender that allows you to do this. Plenty of them around

mortgageFTB

It’s their business because they own a % (perhaps up to 95%!) of the house.

They’re protecting their asset.

DCFC79

Just dont live in a council property as you could get turfed out if you airbnb the property.

I guess the mortgage co could ask you to pay up or repossess the property if they find out.

foxy-stoat

pioneer22 wrote: »

I was reading an article about Airbnb and your mortgage company and you will need to ask for permission.

Providing you pay your mortgage every month why is it any of their business?

Its the same as if you were going to let the property out, you need consent to let. You will be changing the terms of the mortgage agreement. Its like them increasing the interest rate 6 months into your 3 year fixed rate.

Up to you though, I am sure many people use airbnb without telling their lenders, like the folk who deliver pizzas and chinese takeaways using their cars without letting the insurers know. Lets hope the worst doesn't happen.

muhandis

It most likely will be against the terms of the mortgage contract.

Having said that, I have let out a spare room on Airbnb temporarily when the rest of the family is overseas while on a residential mortgage and never checked with or informed the lender.

I did take pay-per-stay insurance though which tops-up/replaces your home insurance for the period (my insurer needed to be informed but they said it's fine as long as I understand that their cover will be suspended during any short lets). That was the big worry for me rather than the lender.

If you're talking about a BTL property, there are plenty of lenders who allow Airbnb now, at mainstream-ish rates. So you could consider remortgaging to one of them.

A minority of mainstream lenders allow borrowers on residential mortgages to do short-lets for a limited period. For instance Metro bank residential mortgages allow borrowers to rent out properties through Airbnb, and similar sites, for up to 90 days a year without prior approval.

Good luck, if your property is located appropriately, it can be a good way to make a bit of extra money.

pioneer22 wrote: »

I was reading an article about Airbnb and your mortgage company and you will need to ask for permission.

Providing you pay your mortgage every month why is it any of their business?

Niv

pioneer22 wrote: »

I was reading an article about Airbnb and your mortgage company and you will need to ask for permission.

Providing you pay your mortgage every month why is it any of their business?

Surely it depends what you are actually wanting to do. Airbnb is simply a hosting site so do you intend to rent the whole place out as a holiday let or have someone in a spare room for a couple of nights (which is more akin to a lodger). Two totally different scenarios from the same site.


So, do you need permission of a lodger? I don't know, for me I would have to check the detail of my particular mortgage.