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Need professional advice for your consent to let with Habito? There are various implications when it comes to letting out your property with an existing residential mortgage - you should seek professional assistance.
Questions and Answers: Habito consent to let
- I have a shared ownership home in Wandsworth and will be looking to buy out the rest of the property. However, in the future I may be working overseas for a short period of time so would like to know what approach Habito take to consent to let as I am considering a remortgage with them. I am not sure if they will lend on my property but as an aside can you provide further information on their consent to let policy?
- We are are looking to join the property ladder, presently renting. We want to purchase a garden flat in Wandsworth. We want to move there, but will need to wait for a job - perhaps 2-3 years. Would we have to get a B2L mortgage? Could we have a domestic mortgage with Habito, because we intend to move there soon? Or could we reside there for half a year, then start renting it with consent to let from Habito? I'm only willing to consider suggestions that are completely legal, and wouldn't breach the terms of the Habito mortgage.
- I sought consent but was refused 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 Habito but will they give me consent straight away?
- My understanding is that this is a contravention of Habito mortgage policy if I lease out my property having informed that I intend to live there. The aim is to have the mortgage fully paid off after five years, by which time I will become the outright owner, meaning I no longer require any consent to let. Habito advised me I can overpay as little as I like during the lifetime of the mortgage. I have someone who wants to rent the property. What checks do Habito do and what are the chances that they are likely to do this? What are the ramifications of not seeking consent to let? From what I have read there is a possibility of Habito switching the loan onto a BTL mortgage
- If we ask for a consent to let letter from Habito will we be required to switch to buy to let mortgage? We are with Habito and as properties are not selling at the mo and we have seen one we like we were considering letting our home out in order to buy the new and sell this one if the local market improves.
- I was just wondering if Habito were picky when giving out consent to let. I sent my request on date and I am waiting to hear back. Should I start chasing or wait for a bit longer?
- I am trying to find out if Habito 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.
- Please could you confirm what the procedure would be if we purchased a new property and need to apply for consent to let for our existing mortgage with Habito
Find out more about how flying freeholds can affect the marketability of a property.
Caveats to be read in in addition to the above Habito 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
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 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 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 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 record their consent in writing.
If you do not keep up the payments on your mortgage with Habito your property may be repossessed