renting a house

[johnlennon]

he there, this might be a silly question! is it legal to rent your house out privatly without telling your mortgage lender?

[dzug]

It's not illegal as such but it will in most cases be a breach of the T&C of your mortgage which could at worse lead to them calling in the loan.

[jen78]

Agree with Dzug.

Think of it from the lender's point of view.

They have secured a large sum of money over your property and don't want you to do anything which could adversely affect their security.

When they lend on a buy to let mortgage they usually check the rental valuations etc... to make sure there is a reasonable chance of the mortgage being covered by the rent and less chance of arrears.

Most lenders will allow rentals but usually you would need their consent first and have to make sure that any tenants are on a formal tenancy.

If the lender repossessed they would want everything on an official footing so they can sell the property on easily.

People in the property who are not on a formal basis can be a lot harder to shift. At least on a formal tenancy they can give peoper notice etc... in accordance with the tenancy and have something to act on.

[Ethel]

You must also change your insurance - building and contents, or you could find you are not covered.

[johnlennon]

thanks for the help, this answer bank thing is brilliant! i was thinking about going travelling for six months and renting to a friend. if she couldnt pay the rent which would cover the mortgage i do have the money to cover it each month just in case. would ost lenders be happy to swap your mortage over to a buy to let? and then does that cost loads?

[redcrx]

call and ask your lender, explain the situation.

I can let out the property i own without changing my mortgage, the lender said there was no risk and was happy to let me rent it out as long as they knew. Other mortgage companies will change the interest rate and charge set up fees etc.

[rover123]

can i still become a hackney taxi driver if i have a criminal record. but no prison sentence