Need Help?
Need professional advice for your consent to let with Co operative Bank plc? 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 Co operative Bank consent to lease
- I have a colleague who is thinking about leasing their property out and moving in with partner. The property is in Bexley and has a £80k mortgage with Co operative Bank. What would she need to do to get consent to let if she decides to do this.
- I have just come off the phone to Co operative Bank and they tell me that it has been brought to their attention that I have been letting out the maisonette even though it is on a normal mortgage. I moved out a couple of years ago for work reasons, was unable to sell and so had little choice to let out the property. Are you able to advise me on the implications might be for me not procuring consent to let?
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We have an existing mortgage with Co operative Bank and wish to clarify if it would be possible to gain consent to let out our three bed flat in Greenwich.
The purpose for wishing to find tenants for the property are are due to: -
- My family and I will be migrating to Melbourne in January.
- By renting out the property this will facilitate savings to support the migration process.
- It would be pointless from a fiscal point of view to discharge the mortgage for a property which we are no longer living and by leasing out the property this would be considered as continuing investment.
If Co operative Bank granted permission to us for renting we would suggest some financial assurances to include: -
- Continue to pay the monthly mortgage payment directly from my bank account.
- Retain the services of an approved letting agent who will provide a rent guarantee scheme as a further financial protection.
- Provide our forwarding address for when we relocate.
- I sought consent but I did not get it as I did a remortgage in September but Woolwich does not give consent if mortgage is less than 6 months old. Now I am worried when 6 months is gone are they going to find some other criteria that will not be ok. On the other hand I can remortgage with Co operative Bank but will they give me consent straight away?
- My wife and I have a letter to Co operative Bank requesting consent to let signed and ready, but I'm not sure what address I should forward this to. Can you please help me with the address?
- If I let my property with consent to let from Co operative Bank will will theyload the interest rate? I am presently on a standard variable rate.
- My mortgage has been with Co operative Bank for seven years. I would like to apply for consent to let my flat. I have been waiting for Co operative Bank to get back to me. Could you please check and help?
- I'm considering a remortgage offer with Co operative Bank and it's likely I will need take advantage of any consent to let option if available at some point in the fixed period. Are there any penalties I should that may be applicable?
Find out more about how flying freeholds can affect the marketability of a property.
Caveats to be read in supporting the above Co operative Bank consent to let Advice
Tax and Legal
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.
Insurance
If 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 inform 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 obtain the consent of the freeholder. If such conditions are not complied with you may be in breach of your covenants under the lease. This could potentially result in the freeholder commencing forfeiture proceedings.
Co-ownership
Neglecting to advise your co-owner of your intention to let could result in them commencing legal proceedings against you. Be sure to obtain their consent in writing.
If you do not keep up the payments on your mortgage with Co operative Bank your property may be repossessed