Updating post from Reddit.
Recently purchased a house. I can foresee needing to move back in with my folks as my father is on the waiting list for an operation and I want to be there to support him. In the meantime, I'm doing a bit of renovating to get the house nice to a standard I am personally happy with.
I am looking to attain a 'consent to let' in that time to enable me to let the property out so I can look after my old man at home for 2 years.
I'm really just after some pointers and tips as to what to look out for, things to consider and any other helpful nuggets of knowledge gained through experience that will help me navigate this process.
Any help/info is greatly appreciated and have a good day.
There is always a risk of getting a bad tenant who will trash the place, or one who will refuse to move out.
Get landlord insurance in case you get a tenant who refuses to move out Make sure all your tenants are vetted Join the nrla they have useful resources
Read Rob Dix’s book How to be a Landlord or take the NRLA’s course.
Be careful of dropping onto variable rate during the tenancy as you will be unlikely to be able to re-fix.
Currently getting shafted by this.
Why are you unable to re-fix? Have you discussed it with a mortgage adviser.
If you're on consent to let you can't take out another residential product with tenant in situ.
So I could take out a BTL mortgage but I want to return to my property at some point soon (potentially) so that's not really an option as I would have to convert it back to residential to move back in
I would personally suggest that you get a lodger rather than a tenant. Especially if you want your property back in 2 years. The first £7k is tax free so you might end up getting roughly the same income after tax vs doing a full rental.
It's very difficult letting out property for a limited time. Tenants want some continuity so bear that in mind. It might suit better if it was let to a business. They have workers they want to house who are on limited time projects, eg a year. They also tend to look after the property better.
Thanks. A fair point. I just updated my post to mention that it’ll be 2 years. Would that still be problematic in the eyes of a tenant?
Consent to let is being withdrawn due to renters right reforms.
Where are you seeing this? Can't see that online.
That is the first I have heard, but some wouldn't be surprised if lenders are more cagey about giving it.
I think as long as you post it for BELOW market rate (enough to cover your mortgage costs after taking into account tax you’ll need to pay to HMRC) then you shouldn’t have a problem filling in the space. 2 years is a good period of time - there will be people who are saving up for a mortgage, or are on temporary contracts.. or people who can’t afford the market rate so would jump at the chance to occupy it even short-term-ish.