Need professional advice for your consent to let with The Chorley & District Building Society? There are various implications when it comes to letting out your property with an existing residential mortgage - you should seek professional assistance.
I work for letting specialists in loc and a potential tenant for the house has demanded evidence of the ‘consent to let’ from the owners lender The Chorley & District Building Society. Why would they ask for this
My husband and I are moving to Dubaiin Month, initially temporarily but it could be longer term. I have contacted The Chorley & District Building Society to obtain consent to let out our home in The Chorley & District Building Society. The mortgage has been in place with The Chorley & District Building Society for three years and the account is up to date with no current arrears. The Chorley & District Building Society inform me, that even if they do agree, that this will be limited for 12 months. And then what?
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.
One thing to remember when arranging a consent to let mortgage with The Chorley & District Building Society 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
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 restrictions are not strictly observed you may be in breach of your covenants under the lease. This could trigger the freeholder commencing forfeiture proceedings.
Failure 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.