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Need professional advice for your consent to let with Sainsburys Bank? 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 Sainsburys Bank consent to lease
- I am with Sainsburys Bank and just had to apply for consent to let, but it would be useful to know if they impose any conditions on the level of rental to be received?
- Nine months ago my lender (not Sainsburys Bank) granted me with consent to let. This was subject to a provision that every 6 months they would add a fee of 0.5% of the remaining mortgage amount. Having the first couple of payments they have omitted to make the charge in recent months. Should I be worried that this means that my consent to let has been withdrawn.
- I have a Sainsburys Bank mortgage and have been renting my apartment without consent to let, making me in contravention of my mortgage conditions. They may have suspicions that I am not residing there. Is my only option is to sell the flat before repossession?
- I want a bit of initial guidance to consider if consent to let is a feasible option. I bought my flat 6 months ago by transferring an existing Sainsburys Bank mortgage product. My fixed rate finished 4 months ago. I'm currently considering moving in with a new partner who has his own property and mortgage also with Sainsburys Bank, which I would not seek to be added to. I don't wish to sell my property yet because I'm unsure of whether the new move will work out. I don't want to switch to a B2L mortgage yet for 2 reasons: 1) I need to find out whether letting my property is a feasible option for myself and 2) I need to find additional capital to satisfy the 65% LTV ratio required for a buy to let loan. Ideally I would like to obtain consent to let from Sainsburys Bank for 1-2 years in order to be more secure in becoming a possible landlord and to generate the capital. If at the end of the consent to let period I was unsure I would probably either sell my property or, depending on the new relationship working out, resume living there.
- When it comes to consent to let from Sainsburys Bank am I supposed to inform them every time we get a new tenant and send them a duplicate of the AST?
- My wife and I wish to move home and have found a house we wish to purchase so are considering letting out with consent to let from Sainsburys Bank for our existing property to enable us to place an offer and not miss out on the potential new house.
- I want to apply for consent to let from my mortgage provider Sainsburys Bank to let out my property. . Do Sainsburys Bank allow consent to let in this scenario?
- I am trying to find out if Sainsburys Bank will grant consent to let in a situation where we need to move closer to relatives in a different house albeit that we may move back the future if circumstances change.
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Caveats to be read in supplemental the above Sainsburys Bank 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 Sainsburys Bank 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 restrictions are not strictly observed you may be in breach of your covenants under the lease. This could trigger the freeholder commencing forfeiture proceedings.
Co-ownership
Omitting to inform 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 Sainsburys Bank your property may be repossessed