Subletting Help to buy - Consequences?

JimmyPotts

Is there any real-world examples of people being caught subletting a help to buy mortgage?

I know it can be done in certain circumstances. But in this case a 'friend' has sublet for over 18 months without permission or consent to let. 

What would be the punishment? 
- Repay the equity loan?
- Repossession of the property?
- Interest increase?

No doubt it will open up a whole can of worms to said offender. 

user1977

It would be easier if you just continue your existing thread:

https://forums.moneysavingexpert.com/discussion/6436947/nightmare-neighbour-rents-a-help-to-buy/p1

sheramber

You seem to know a lot about the affairs of your  'friend'.

JimmyPotts

sheramber said:

You seem to know a lot about the affairs of your  'friend'.

That damm illusive sha-a-dow.

MultiFuelBurner

Source https://www.gov.uk/guidance/how-to-sublet-your-help-to-buy-home

Being told about subletting

Sometimes our administrator is informed that a Help to Buy home is being sublet.

When this happens they’ll check the property to find out if an application to sublet has been submitted, or if permission has already been provided.

If either of these things has happened, they’ll not take further action.

If you sublet without permission

Subletting your home without permission means that other agencies or organisations could take action against you.

Our administrator will contact you within 5 working days from when the report was made to say you have broken the terms of your equity loan.

If you can meet our criteria for subletting, you can then ask for permission.

If they’re not able to contact you, they may use a tracing service to locate you and take further action. You’ll have to pay for this process and any other legal fees.

If you’ve already sublet your home and did not ask for permission, you can apply for permission retrospectively (afterwards) by contacting our administrator.

You’ll need to pay:

an administration fee of £50

any costs associated with breaking the rules and subletting without permission

These costs may include things like:

credit reference searches

administration costs

tracing service fees

If you’re refused retrospective permission

You’ll have 6 months to move back into your home, sell it, or repay your equity loan in full.

Our administrator will:

contact your mortgage lender and let them know

consider enforcement action and repossession with your mortgage lender

report it to HMRC

Subletting your home without permission means that other agencies or organisations, like your mortgage lender, may take action against you. This may include being asked to repay the equity loan in full or having your home repossessed.

grumiofoundation

JimmyPotts said:

Is there any real-world examples of people being caught subletting a help to buy mortgage?

I know it can be done in certain circumstances. But in this case a 'friend*' has sublet for over 18 months without permission or consent to let. 

What would be the punishment? 
- Repay the equity loan?
- Repossession of the property?
- Interest increase?

No doubt it will open up a whole can of worms to said offender. 

As said above numerous replies on your other thread about your nightmare neighbour, what more are you looking for?

Nice to see you are friends with the landlord now though!!

Not really sure how you know your neighbours landlord doesn't have consent to let...

JimmyPotts

grumiofoundation said:

JimmyPotts said:

Is there any real-world examples of people being caught subletting a help to buy mortgage?

I know it can be done in certain circumstances. But in this case a 'friend*' has sublet for over 18 months without permission or consent to let. 

What would be the punishment? 
- Repay the equity loan?
- Repossession of the property?
- Interest increase?

No doubt it will open up a whole can of worms to said offender. 

As said above numerous replies on your other thread about your nightmare neighbour, what more are you looking for?

Nice to see you are friends with the landlord now though!!

Not really sure how you know your neighbours landlord doesn't have consent to let...

Lol he’s not a friend.

I have a contact who works for the lender. 

grumiofoundation

JimmyPotts said:

grumiofoundation said:

JimmyPotts said:

Is there any real-world examples of people being caught subletting a help to buy mortgage?

I know it can be done in certain circumstances. But in this case a 'friend*' has sublet for over 18 months without permission or consent to let. 

What would be the punishment? 
- Repay the equity loan?
- Repossession of the property?
- Interest increase?

No doubt it will open up a whole can of worms to said offender. 

As said above numerous replies on your other thread about your nightmare neighbour, what more are you looking for?

Nice to see you are friends with the landlord now though!!

Not really sure how you know your neighbours landlord doesn't have consent to let...

Lol he’s not a friend.

I have a contact who works for the lender. 

A contact who works for the lender and is happy to risk their career by sharing information with you, now that is a good friend.