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Need professional advice for your consent to let with Bank of Scotland? There are various implications when it comes to letting out your property with an existing residential mortgage - you should seek professional assistance.
Top Five Questions relating to Bank of Scotland consent to lease
- I have exchanged contracts for a new build property in which I was going to move into, but my employer has offered me a posting abroad for three years, can I let the new property with consent to let from Bank of Scotland.
- I obtained consent to let from Bank of Scotland two yrs ago but never used it and subsequently remortgaged to a new mortgage provider. I recently applied for consent to let. I was told it would be authorised since their requirements were met. I have now got a communication advising me that I must provide a letter from the DWP evidencing that that are aware of my current situation before they can provide authorisation. They said this is policy but I have not been able to find these conditions on their site. I did complain about the insinuation that I might intend to continue to claim help with interest from the DWP whilst receiving rental on the property. They apologised and offered to deposit £35 in my account . However i still am unable to locate this term and condition and i feel this is otherwise inappropriate I want to let my property as a way of releasing me from redress to social benefits not in order to discontinue claiming
- My fixed rate runs out late 2016 and I'm planning on fixing for a further three years with Bank of Scotland, hopefully rates will remain low. In two years time I might want to move for a couple of years to a different county. How difficult is it to get consent to let from Bank of Scotland in this situation? I would be returning at the end of the two years to reside in my property.
- I am looking for our family to move to give us all more space. We are thinking about buying another house in the near future. The house is estimated to be worth £185k and we have about £65k left to pay on the Bank of Scotland mortgage. We would prefer to keep this house if possible and let it out with consent to let. Is it possible to get a mortgage on two properties at the same time or do we first need to redeem our current mortgage?
- If we request a consent to let letter from Bank of Scotland will we be forced to convert to buy to let mortgage? We are with Bank of Scotland and as properties are not currently selling but we have seen one we like we were going to rent our home out in order to buy the new and dispose of this one when the local market picks up.
- Will Bank of Scotland choose to operate a right to change the rates on a domestic mortgage where Consent to Let at any time, onto ‘rates equivalent to their Buy to Let range'? Can one refinance on a consent to let with Bank of Scotland?
- Do you know whether Bank of Scotland will accept rental income on consent to let for affordability purposes or does it need to be on a buy to let ? Would Bank of Scotland let me raise capital based on the rental revenue ?
- I have a mortgage with Bank of Scotland but am wanting to rent my house out and move in with my partner and baby what would I have to do to obtain consent to let?
Find out more about how flying freeholds can affect the marketability of a property.
Caveats to be read in supporting the above Bank of Scotland consent to let information
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
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 trigger your insurance becoming invalid. 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 to have a license to do so from the freeholder. If such terms are not adhered to you may be in violation of the lease. This could potentially result in the freeholder commencing forfeiture proceedings.
Co-ownership
Omitting to advise your co-owner of your intention to let could result in them taking legal action against you. Be sure to record their consent in writing.
If you do not keep up the payments on your mortgage with Bank of Scotland your property may be repossessed