Need Help?
Need professional advice for your consent to let with Pepper Homeloans? 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 Pepper Homeloans consent to lease
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I work for letting specialists in loc and a potential tenant for the house has demanded a duplicate of the ‘consent to let’ from the owners lender Pepper Homeloans. Why would they ask for this
- What is the difference between consent to let and changing to a buy to let mortgage? Also is the property subject to Capital Gains Tax if sold?
- I have a residential mortgage coming up for renewal with Pepper Homeloans. I have had the property let out for two years and I now realise I should have disclosed this to Pepper Homeloans. I am led to believe that it is possible to seek consent to lease, but given that the property has already been let out could they refuse - insist I switch a BTL rate and even fine me? I have over 45% equity in the property - and the rent will more than cover the mortgage.
- As a result of a change in personal circumstances my husband and I are housesitting my mum and dad’s house while they are away and letting our home out. We are going to need for consent to let from Pepper Homeloans. Will this be forthcoming? We will need to refinance in the next 12 months will we then have to move to a BTL product. We intend to return to our property at within the next twelve months?
- Is it possible that Pepper Homeloans would have archive records as to whether consent to let was granted for a specific property?
- Can I remortgage to Pepper Homeloans from my existing provider, with a consent to let or do I need a let to buy mortgage, and if so what are the LTV's?
- I have a question I'd like to ask...if consent to let is given by Pepper Homeloans would it usually stipulate a time limit, such as one year?
- Do you know if I can retain my current domestic mortgage with Pepper Homeloans if I start renting out? If the consent to let is given will they tie me into an increased rate?
Find out more about how flying freeholds can affect the marketability of a property.
Caveats to be read in supporting the above Pepper Homeloans consent to let Info
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 Pepper Homeloans 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 provisions in the lease may prevent 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 breach of the lease. This could trigger 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 Pepper Homeloans your property may be repossessed