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Charlie Don't Surf

Let To Let Mortgage Problems

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Have just signed up to rent a 3 bedroom house for £700 a month with my girlfriend. She owns a house but it is minute and I intend to be working from home. She doesn't want to sell the house as she boght it cheap 4 years ago - anyway, that's not the issue.

The plan was we let her house out to subsidise a bigger house. Now the problem is the mortgage on the existing house - for some reason it is now regarded as a buy to let mortgage whic a) is more expensive and B) she doesn't earn enough. I talked to my accountant and he said don't bother telling the bank as they won't find out. However this doesn't seem to be an option with my girlfriend as she is a complete stress head.

Anybody know of any suitable mortgages, solutions or whether it is feasible just no to tel the bank?

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Have just signed up to rent a 3 bedroom house for £700 a month with my girlfriend. She owns a house but it is minute and I intend to be working from home. She doesn't want to sell the house as she boght it cheap 4 years ago - anyway, that's not the issue.

The plan was we let her house out to subsidise a bigger house. Now the problem is the mortgage on the existing house - for some reason it is now regarded as a buy to let mortgage whic a) is more expensive and B) she doesn't earn enough. I talked to my accountant and he said don't bother telling the bank as they won't find out. However this doesn't seem to be an option with my girlfriend as she is a complete stress head.

Anybody know of any suitable mortgages, solutions or whether it is feasible just no to tel the bank?

Read the current mortgage agreement thoroughly.

I'm sure it will say letting is not allowed.

Of course folks do this, anecdotal tales here have told of it.

There is also the issue of house insurance.

You will need to get a policy for landlords.

I'm thinking here of a scenario where the house burns down the insurance co. finds there are tenants in and, if they hadn't been told, can legitimately refuse to pay any claim.

Like so many things you can do it the right way and cover your back or the "other" way and hope.

Or worry if you're that way inclined.

Which do a book on letting.

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Have just signed up to rent a 3 bedroom house for £700 a month with my girlfriend. She owns a house but it is minute and I intend to be working from home. She doesn't want to sell the house as she boght it cheap 4 years ago - anyway, that's not the issue.

The plan was we let her house out to subsidise a bigger house. Now the problem is the mortgage on the existing house - for some reason it is now regarded as a buy to let mortgage whic a) is more expensive and B) she doesn't earn enough. I talked to my accountant and he said don't bother telling the bank as they won't find out. However this doesn't seem to be an option with my girlfriend as she is a complete stress head.

Anybody know of any suitable mortgages, solutions or whether it is feasible just no to tel the bank?

http://www.sfo.gov.uk/news/prout/pr_365.asp?id=365

another accountant running the risk of jail

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Guest struthitsruth
Anybody know of any suitable mortgages, solutions or whether it is feasible just no to tel the bank?

C&G have been good about this in the past, I speak from personal experience. We bought and lived in our place for about 18months, and then asked if it would be OK to let it out when we moved to a job which required us to be accommodated on site. They kept us on our ftb mortgage, and when we moved to a new deal a couple of years later the buy to let question wasn't raised. However if we had wanted to move to a different mortgage provider, we couldn't find any that would consider anything other than buy-to-let rates.

I wouldn't advise keeping the bank in the dark, because if any problem arose with your tenants or your ability to keep up repayments for any reason, they would be more unsympthetic to your plight.

B)

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Have just signed up to rent a 3 bedroom house for £700 a month with my girlfriend. She owns a house but it is minute and I intend to be working from home. She doesn't want to sell the house as she boght it cheap 4 years ago - anyway, that's not the issue.

The plan was we let her house out to subsidise a bigger house. Now the problem is the mortgage on the existing house - for some reason it is now regarded as a buy to let mortgage whic a) is more expensive and B) she doesn't earn enough. I talked to my accountant and he said don't bother telling the bank as they won't find out. However this doesn't seem to be an option with my girlfriend as she is a complete stress head.

Anybody know of any suitable mortgages, solutions or whether it is feasible just no to tel the bank?

Write to the bank and inform them of your/her intentions. They cannot/will not refuse to allow you to rent it out, they may, however, up the interest rate. BTW, nothing was cheap 4 years ago, better value than now but not cheap.

Edited by Converted Lurker

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  • 301 Brexit, House prices and Summer 2020

    1. 1. Including the effects Brexit, where do you think average UK house prices will be relative to now in June 2020?


      • down 5% +
      • down 2.5%
      • Even
      • up 2.5%
      • up 5%



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