Santander mortgage question

by Readers Question

9:22 AM, 24th March 2015
About 4 years ago

Santander mortgage question

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Santander mortgage question

I am about to sign a contract with Santander (received all the documents) but I will need to confirm there will be no persons over the age of 17 years (other than me) who will residing at the property – at all time…. Any such other person who will be living in the property must complete and sign a deed of consent which is on the back of our Mortgage Deed and seek separate legal advice about the deed, if appropriate.

I was thinking to take lodgers or renting the whole property out in a few months time but this pushing me off a bit ….. I was planning to seek consent to let after I have owned the property for 6 months. Santander mortgage question

I have read somewhere that this became something very common for a resi mortgage. I didn’t really have chance to look around for a better deal as I was given an agreement of principle by Santander before making an offer. My broker told me that if I ask the bank now they wouldn’t lend me the money and he suggested that I could try to ask for consent to let in 8 months.

It’s been a few months since I made an offer and don’t think the seller would like to wait for me to find another lender at this stage.

Any advice would be much appreciated.

Thanks in advance.

Matt



Comments

Mark Alexander

9:23 AM, 24th March 2015
About 4 years ago

Hi Matt

From what you have said this mortgage is not suitable for your requirements. You need to get this sorted, even if it means you losing this property and having to find another.
.

Matt Di

9:54 AM, 24th March 2015
About 4 years ago

Reply to the comment left by "Mark Alexander" at "24/03/2015 - 09:23":

Hi Mark,

Thank you very much for your quick response.

You are right, I agree that this mortgage is not suitable for me. I am thinking of not to rent out for the first 6 months and ask for Consent to Let. (have seen from lender's website that we have right to ask for CTL after I own the property for 6 months). Once the end of the 2 years fixed term, I will switch to buy to let or I may move back in. I don't want to lose this property, as I have been searching for years and the price of this property wasn't too bad compare with the others in the area.

Regards,

Steve From Leicester

11:22 AM, 24th March 2015
About 4 years ago

I've always had a similar question asked of me when applying for residential (as opposed to buy-to-let) mortgages.

My understanding has always been that this particular clause is there to prevent someone connected with you (wife / partner / family member) having a claim to the title of the property without being a party to the mortgage.

Separate clauses usually relate specifically to lodgers, letting etc, and as you've realised, if this is your longer term plan it makes sense to find a mortgage which will meet your needs both now and in the future.

Carol Thomas

15:05 PM, 24th March 2015
About 4 years ago

Reply to the comment left by "Steve From Leicester" at "24/03/2015 - 11:22":

How strange! I'm just doing the same paperwork for the Skipton on a BTL mortgage and this is one of the questions I will be asking my Mortgage Advisor to clarify on Thursday. I can see the point of it for a residential property, but BTL??? And I have had to jump through more hoops than you would normally see in a Residential mortgage....


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