Need professional advice for your consent to let with Precise Mortgages (Charter Court Financial Services Ltd)? There are various implications when it comes to letting out your property with an existing residential mortgage - you should seek professional assistance.
I am a FTB interested in a 2 bedroom house in Precise Mortgages. I have a 50% deposit with a mortgage from Precise Mortgages. My dilemma is that my partner has a flat in Slough and I can foresee myself moving in next year, at which point I would want to let out my house. I have heard of consent to let but it does not sound like a guaranteed option. Is there any advice you can impart?
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.
You must inform your buildings/contents insurer that you are letting your property and failing to do so can render any insurance you have invalid. Especially having public liability cover is very important as it protects you in the event of a third party being injured on your property, not having this leaves you open to claims made by tenants for personal injury or damage to their possessions arising from incidents connected with your property lack of consent to rent.
If your property is leasehold, the lease may prohibit you from letting or require that you to have a license to do so from the freeholder. If such conditions are not complied with you may be in violation of your covenants under the lease. This could trigger the freeholder commencing forfeiture proceedings.
Neglecting to inform your co-owner of your intention to let could result in them commencing legal proceedings against you. Be sure to record their consent in writing.