Need Help?
Need professional advice for your consent to let with Paragon Mortgages Ltd? There are various implications when it comes to letting out your property with an existing residential mortgage - you should seek professional assistance.
Frequently asked questions relating to Paragon Mortgages consent to lease
- My wife and I live in a property where we have numerous spare rooms. We are exploring the idea of setting up an holiday let type business to rent rooms out on a check-in and check-out arrangement. Are you aware if this kind of thing allowed in accordance with Paragon Mortgages’s standard 'consent to let' process?
- I've been with Paragon Mortgages for about 2 years and have just renewed a fixed rate. The loan to value is approximately 28%. Unfortunately we must move into my mum’s house to care for her, it would make sense to lease our house out - do I need to seek consent to let from Paragon Mortgages and is it likely to cost much?
- A colleague recently asked for CTL from the Woolwich which they declined as the mortgage had not been in place for six months. I am about to seek consent to let from Paragon Mortgages. Will they take the same approach?
- I have a property in Lambeth with a Paragon Mortgages mortgage but I no longer reside there. My brother moved in but pays no rent. At the moment I live in rented premises and am keen to purchase a house. I have come across an ideal property at an attractive price. I have sufficient for a deposit to put down on the house I am interested in but would be hard pushed to pay enough off the old property to switch it to a BTL mortgage at the same time. Can I switch the current Paragon Mortgages mortgage for my old flat into a consent to let and use my savings to pay a larger deposit for the domestic mortgage on the property that I am looking to purchase?
- Paragon Mortgages domestic mortgage. Will they issue consent to let a house for 2 years? I will move back in again as a resident.
- Prospective tenants are about to move into my property and I have mortgage offer from Paragon Mortgages on new house on condition of consent to let for original house. How long should it take to receive letter once I send back a completed application with cheque.
- My wife and I want to let our house out and use the rental income to pay rent on a house in Southwark. How likely are we to be given consent to let by Paragon Mortgages without being forced onto a BTL product.
- I own a leasehold flat. I would like remortgage with Paragon Mortgages and seek consent to let. I'm still inside the Early Redemption Charge period so not sure if there such a thing as porting to some property?
Find out more about how flying freeholds can affect the marketability of a property.
Information to consider in in addition to the above Paragon Mortgages consent to let Advice
Tax and Legal
There may be various 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
One thing to remember when arranging a consent to let mortgage with Paragon Mortgages is to switch your existing residential buildings insurance policy to a landlords buildings insurance policy. The insurance premium is marginally more expensive but if you don’t switch your insurance and you need to make a claim then you won’t be covered on your standard residential buildings insurance. 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
If your property is leasehold, the lease may prohibit you from letting or require that you obtain the consent of the freeholder. If such restrictions are not strictly observed you may be in breach of the lease. This could potentially result in the freeholder commencing forfeiture proceedings.
Co-ownership
Failure to inform 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.
Your property may be repossessed if you do not keep up repayments on your mortgage with Paragon Mortgages