Moving away from HTB

celly5460

Hi Guys,
4 years ago, I took out the help to buy mortgage 5% deposit and 95% LTV to buy a flat as a solo first time buyer. I'm now married and we are looking to buy a bigger home however, I'd need to switch to a buy to let product. I understand there are ERC however, I wanted to find out if I moved from one lender to the other (not porting but remortgaging), would I have to remortgage as a help to buy? The intention is to keep the flat and rent it out then apply for a mortgage with my husband to take advantage of the stamp duty break. My husband has no credit so his report is in the fair band - we are waiting for the electoral roll to be updated so this should push things up. Mine is poor despite payments made in full and on time. I have two defaults from February 2019 which were paid off in full in June this year. I did have late payments on a secured loan but these are now up to date as of July. If getting a mortgage is unrealistic, we can always just stay put and wait until good patterns of using credit and paying appear on our files.  

obc18

Can’t provide great detail but I do know that you can’t let your property out whilst you are under H2B. I’d assume you’d have to remortgage to both a) pay off H2B and b) move to a buy-to-let mortgage. 

I’d say the electoral roll issue would be a problem. You can probably find an adverse lender via a broker in light of your credit mishaps but you’ll have to accept a higher rate. 

Good luck with everything!

getmore4less

If you keep the flat you will have SDLT to pay on the new place.

I don't think you can let out with the H2B so you will need to raise funds for that
if you did 5% deposit + 20% H2B + 75% HTB ,mortgage 
4 years on you will have around 10% paid off of the mortgage (7.5% of purchase)

if prices have not moved you will be looking at over 85% LTV which may not be possible on a BTL