Need professional advice for your consent to let with Tesco Bank (a trading name of Tesco Personal Finance plc)? There are various implications when it comes to letting out your property with an existing residential mortgage - you should seek professional assistance.
Finding myself in a pickle with a Consent to Let home loan. Reacting to my requisition for consent to let the bank has requested evidence of an executed tenancy agreement as a prerequisite to granting permission. If I get a signed tenancy agreement would I not be violating the terms of my existing mortgage?
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.
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 could result in your insurance becoming null and void. 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
Should the tenure of your property be leasehold, the lease may prohibit you from letting or require that you obtain the consent of the freeholder. If such terms are not adhered to you may be in violation of the lease. This could trigger the freeholder commencing forfeiture proceedings.
Failure to inform 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.