Need Help?
Need professional advice for your consent to let with Foundation Home Loans? 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 Foundation Home loans consent to lease
-
Doing everything by the book I’ve been leasing out my house with "consent to let" from Foundation Home loans on a standard mortgage for the previous 24 months. Foundation Home loans have put forward an ultimatum retracting their consent to let unless we transfer to one of their "buy to let" deals.
- I have exchanged contracts with a developer for a property in which I was going to move into, but my manager has offered me a posting overseas for 18 months, can I let the new property with consent to let from Foundation Home loans.
- I am currently choosing a mortgage as FTB and considering Foundation Home loans with my mortgage adviser. Let's say I choose a 3 year fixed rate I move in the property and after two years, an opportunity arises which involves a relocation necessitating moving abroad. In the case Foundation Home loans issues me consent to let,does the interest rate load the interest rate?
- What information do Foundation Home loans need to have to make a decision on consent to let. I have a 3 year fix with them. I have always paid the mortgage on time. I am planning a move to the countryside owing to the family getting bigger. I will be sticking with my existing job and my annual income has increased by thirty per cent since the mortgage started.
- I'm having to move to the US for a couple of years for my job but I don't want to switch the mortgage to BTL as the intention is to move back into it when I return. Do you know if Foundation Home loans charges extra on the interest? Is there any way around this?
- We are about to buy a property and plan to live in it once we have renovated but we may need to let the property out but not clear on what the rules are on consent to let from Foundation Home loans? We don't require a buy to let mortgage because we are not certain if we will need to let it out at all
- Do I require consent to let if I let to a family member (in my situation my brother now lives there and contributes towards the Foundation Home loans mortgage)?
- Does my LTV need to be at a certain ratio to allow me to apply for a consent to let from my mortgage provider Foundation Home loans. Will any consideration be given to the fact that I only drew down on the mortgage two months ago?
Find out more about how flying freeholds can affect the marketability of a property.
General Advice to read in further to the above Foundation Home loans 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 Foundation Home loans 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
Should the tenure of your property be leasehold, the lease may prohibit 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 your covenants under the lease. This could potentially result in the freeholder commencing forfeiture proceedings.
Co-ownership
Failure 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 Foundation Home loans your property may be repossessed