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Need professional advice for your consent to let with ModaMortgages? There are various implications when it comes to letting out your property with an existing residential mortgage - you should seek professional assistance.
Questions and Answers: ModaMortgages consent to let
- I need to explore if I can receive consent to let on my current property. I have a mortgage with ModaMortgages but my situation has changed. I'm about to move in with my partner and daughter who have a house and more room than my 1 bed apartment. I doubt I will qualify for a buy to let mortgage as I don't have the funds for a deposit nor do I earn more than £25000 per annum.
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We have an existing mortgage with ModaMortgages and wish to clarify if it would be possible to obtain consent to let out our one bed flat in Southwark.
The purpose for wanting to rent out the property are are due to: -
- My wife and I will be moving to India next spring.
- In letting out the house this will enable us to make some savings to assist with the migration process.
- It would be pointless from a financial perspective to pay outright for a property which we are no longer residing in and by letting out the home this would be considered as continuing investment.
If ModaMortgages agreed that we are able to proceed with renting we would suggest some financial commitments to include: -
- Maintain paying the monthly mortgage payment by standing order.
- Retain the services of an approved letting agent who will provide a rent guarantee scheme as a further financial safeguard.
- Supply our contact details for when we relocate.
- For a variety of reasons I intend moving in with my girlfriend next week and I have let my property out to 2 tenants on a twelve month tenancy. I am now applying for consent to let from ModaMortgages but what if they refuse. I can’t renege on my contract in terms of not renting the students as the paperwork is finalised. On the other hand ModaMortgages could sue me for breach of contract i.e. letting it out without consent to let.
- I am currently looking to buy my first property however, working as a consultant. I want to chose a mortgage company that will permit short term letting with a residential mortgage so that I could rent out the property for 6-9 months with long periods of absence without being forced into a buy to let product. Can you let me know how lenders would view this and in particular the approach taken by ModaMortgages.
- I am looking to ModaMortgages to issue me with consent to let out my flat in Bexley. I am moving to look after my mother who has severe complex heart failure
- My family circumstances has changed, and I wish to let my home out - meaning consent to let- I have approx £140K loan with ModaMortgages and currently 85k equity I need to avoid the early repayment fees.
- I don't currently have consent to let from ModaMortgages but I would like to apply, I am looking at working away for eighteen months. But want to keep my home for my return - can you assist?
- My wife and I took out a mortgage with ModaMortgages a few months ago and although it's still early days we may have to relocate around next Spring and would like to be able to let our property out. Would this be possible with a non-commercial mortgage?
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Caveats to be read in conjunction with the above ModaMortgages consent to let Advice
Tax and Legal
There are numerous potential tax and legal (from restrictions on title, lease prohibitions to planning issues) implications when letting out your property. You should always seek the advice of a solicitor and accountant before letting out your property.
Insurance
Where you hold buildings and contents insurance on your property you should review it to make sure it continues to provide the cover you need. It is also important that you update your insurance provider of your change in circumstance, as failure to notify them may result in your insurance becoming null and void. As a minimum you should ensure that you are covered for any third party liability in respect of injuries to your tenant whilst at your property
Leasehold properties
Should the tenure of your property be leasehold, the provisions in the lease may prevent you from letting or require that you obtain the consent of the freeholder. If such conditions are not complied with you may be in breach of your covenants under the lease. This could potentially result in the freeholder commencing forfeiture proceedings.
Co-ownership
Neglecting to advise your co-owner of your intention to let could result in them taking legal action against you. Be sure to obtain their consent in writing.
If you do not keep up the payments on your mortgage with ModaMortgages your property may be repossessed