addyuk Posted March 2, 2007 Report Share Posted March 2, 2007 Hi, i purchased a property on a residential mortgage recently but due to change in circumstances i am now thinking of letting the property out. My question is basically is there a minimum period of time before asking the banks permisson. They seem to not specify a time frame but im not sure, maybe someone can offer some advise. Link to comment Share on other sites More sharing options...
addyuk Posted March 5, 2007 Author Report Share Posted March 5, 2007 All very quiet on here was hoping for a bit of advise? Link to comment Share on other sites More sharing options...
odecar Posted March 5, 2007 Report Share Posted March 5, 2007 It depends on your relationship with them. I let out to a hospital a few years ago that only let to Doctors coming in for a set contract and never informed the bank. Ultimately if the doctor messed up the estates dept would just withhold his pay, they had good rep as looked after landlords who acted fairly. However now the property is done via an agency and the bank know. Best to be on the safe side but have a look at what rates are for BTL and residential as if you feel the bank is going to rip you off then provided you are at the end of a fixed rate etc you can leave cheaply. If they cancel the rate you are on and moved you to a more expensive BTL rate then just leave and go elsewhere. Link to comment Share on other sites More sharing options...
Melboy Posted March 6, 2007 Report Share Posted March 6, 2007 Almost certainly somewhere in your mortgage contract will be a clause which states that if you let the property the bank / mortgage company must be informed of this fact. You have gone from a "normal" mortgage loan to a BTL mortgage in principle and the Bank will, in all probability, charge you more. Failing to inform them is not an option really because if they find out they can get really heavy with you as others have found out to their cost. Mel. Link to comment Share on other sites More sharing options...
pugsy Posted March 7, 2007 Report Share Posted March 7, 2007 Why worry about the time frame, just run it by them casually on the telephone and you will find out. You may get a surprise. We have our residential mortgage with a major high street bank and when we asked what their policy is, they said we could keep the same mortgage, same rate, no extra charges all we had to do was fill in a notification of letting form and return it to them. Not telling them is not an option, so what's the worst that can happen? At least you will have a game plan. Link to comment Share on other sites More sharing options...
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