Will Buy-to-Let portage holidays affect my main mortgage application?

ScottL45

Hi everyone.  Looking to make an application with Halifax as we're moving house.  However, the issue is, I have two BTL mortgages with the Halifax and I took a double mortgage payment holiday on both mortgages due to financial issues with the tenants.  Now I'm concerned that these holidays will impact my application if I apply with them.  Does anybody have any thoughts on this?  Thanks.

ScottL45

Mortgage, not portage!

Blackbeard_of_Perranporth

I would suggest that the financial problems of your tenant need sorting out. You should not run that as a charity. Always, if you can afford to pay the mortgage, you pay it.

ScottL45

Blackbeard_of_Perranporth said:

I would suggest that the financial problems of your tenant need sorting out. You should not run that as a charity. Always, if you can afford to pay the mortgage, you pay it.

One tenant worked for British Airways and was sacked and the other ran a small events company that closed over night.  I'm not really sure what you mean about running "that" as a charity?  My tenants were affected by covid-19 so I took the holiday breaks whilst they couldn't pay.  All I wanted to know really was BTL holiday breaks would be viewed given the circumstances.  

Blackbeard_of_Perranporth

Buy to let, if you informed the lender?, are business transactions. This would affect your income, and this could affect your application. If you have not paid these business loans, then they could affect your application.

As for your tenants, they are not the only ones to have seen a reduction of their income this year, I also have seen a reduction, but I have managed to pay my mortgages in full, even though I could have had a holiday. 

[Deleted User]

I'm sure I've read on this board that mortgage payment holidays have adversely affected mortgage applications.  It's maybe one for a broker.

ScottL45

Blackbeard_of_Perranporth said:

Buy to let, if you informed the lender?, are business transactions. This would affect your income, and this could affect your application. If you have not paid these business loans, then they could affect your application.

As for your tenants, they are not the only ones to have seen a reduction of their income this year, I also have seen a reduction, but I have managed to pay my mortgages in full, even though I could have had a holiday. 

The tenant that was sacked from BA, has been putting a few posts every week on FB looking for a job.  I'll be sure to pass on your helpful comments to her.

ScottL45

Lover_of_Lycra said:

I'm sure I've read on this board that mortgage payment holidays have adversely affected mortgage applications.  It's maybe one for a broker.

Yes it wouldn't surprise me, just wondering if anyone had any first hand experience, granted this is very new and unprecedented.  The only bonus is that they do not show up on credit files.

csgohan4

ScottL45 said:

Lover_of_Lycra said:

I'm sure I've read on this board that mortgage payment holidays have adversely affected mortgage applications.  It's maybe one for a broker.

Yes it wouldn't surprise me, just wondering if anyone had any first hand experience, granted this is very new and unprecedented.  The only bonus is that they do not show up on credit files.

You will like be asked if Covid-19 has affected you in any way financially, so you will need to declare it anyways, credit file or not

our remortgage lender asked this recently

MWT

ScottL45 said:

Lover_of_Lycra said:

I'm sure I've read on this board that mortgage payment holidays have adversely affected mortgage applications.  It's maybe one for a broker.

Yes it wouldn't surprise me, just wondering if anyone had any first hand experience, granted this is very new and unprecedented.  The only bonus is that they do not show up on credit files.

They don't need to be on your credit file as they are from the same lender as you propose to use...