No consent to let

silvercar

penners324 said:

batman67 said:

Many thanks SIlvercar. Yes I always expect the worst, but even I hadn't considered police and prison cells  

And with regards to signing something BarelySentientAI, I've not signed anything since the mortgage agreement on purchasing and moving in to the property. I've also kept the lender updated with my home address at all times since then (which obviously doesn't match the property address), and I have had meetings with my appointed personal banker at the lender (also my bank), who knew all of my financial circumstances. So I don't see how they can argue I was misleading them or being deceptive in any way.

You've not remortgaged in 23 years? Wow. So you've been on the lenders SVR for a very long time?

It’s not that unusual. I have had the same mortgage since 2001. Was a fix followed by a base rate tracker. Has served me very very well until the last year or so and even now is competitive enough that it isn’t worth the cost of moving it. (And I’ve moved and ported it with me).

alanyau88

I'm curious.  Has the OP ever reported the rental income through self assessment to HMRC?

batman67

alanyau88 said:

I'm curious.  Has the OP ever reported the rental income through self assessment to HMRC?

Yes of course, from day 1...

alanyau88

batman67 said:

Any advice would be appreciated.
I bought a flat with a residential mortgage about 23 years ago and lived in it for about 2 years and then let it. I was going abroad and I didn't really know at the time you should get consent to let. The flat has been let since then. And it was quite a favourable mortgage for a long time so I didn't want to 'rock the boat'..
I am now trying to buy another property to live in and applying for another residential mortgage, and I'm aware that the fact that it is a second residential mortgage could prompt questions/flags etc.
Though I don't think I ever got consent, I do bank with the same company as the original lender, and they have known that my home addresses don't match the address that they have lent against ever since then, and have never asked questions.
I just wondered what is my best course of action. I could go to that lender (my bank) and say "you know this property is let, could you switch me to a buy to let?" maybe? Or keep quiet and hope it doesn't get raised applying for a second residential mortgage? I guess I'm only 2 years from mortgage maturity so it could come up then anyway I guess. 
Any thoughts/insight would be a big help - thanks.

The fact that you have let out the property without informing the lender for consent will be a breach of the terms and conditions of the mortgage.  The fact that you are contemplating on keeping quiet and hoping it doesn't get raised applying for a second residential mortgage would be fraud.  I would point you to rectifying the mortgage into a buy to let one as soon as possible and ensure all records are correct.  If the lender finds out that you are letting the property out without their permission, then they may put you on a black list of which you will find it very hard to get financing in the future.  I'm not trying to scare you but these are the facts.  They will want to see your self assessment declarations and ensure everything is correct.  Therefore it is in your own interest to rectify the breach of terms and conditions as soon as possible.

batman67

alanyau88 said:

batman67 said:

Any advice would be appreciated.
I bought a flat with a residential mortgage about 23 years ago and lived in it for about 2 years and then let it. I was going abroad and I didn't really know at the time you should get consent to let. The flat has been let since then. And it was quite a favourable mortgage for a long time so I didn't want to 'rock the boat'..
I am now trying to buy another property to live in and applying for another residential mortgage, and I'm aware that the fact that it is a second residential mortgage could prompt questions/flags etc.
Though I don't think I ever got consent, I do bank with the same company as the original lender, and they have known that my home addresses don't match the address that they have lent against ever since then, and have never asked questions.
I just wondered what is my best course of action. I could go to that lender (my bank) and say "you know this property is let, could you switch me to a buy to let?" maybe? Or keep quiet and hope it doesn't get raised applying for a second residential mortgage? I guess I'm only 2 years from mortgage maturity so it could come up then anyway I guess. 
Any thoughts/insight would be a big help - thanks.

The fact that you have let out the property without informing the lender for consent will be a breach of the terms and conditions of the mortgage.  The fact that you are contemplating on keeping quiet and hoping it doesn't get raised applying for a second residential mortgage would be fraud.  I would point you to rectifying the mortgage into a buy to let one as soon as possible and ensure all records are correct.  If the lender finds out that you are letting the property out without their permission, then they may put you on a black list of which you will find it very hard to get financing in the future.  I'm not trying to scare you but these are the facts.  They will want to see your self assessment declarations and ensure everything is correct.  Therefore it is in your own interest to rectify the breach of terms and conditions as soon as possible.

Yep got that, and they can see as many tax returns as they like. I guess it takes me back to whether to rectify it by just moving the mortgage or asking for a switch within current lender.

dimbo61

I think you need to sort out a BTL mortgage and and then look at getting a new residential mortgage for your new home 

chanz4

tax return?