I own a property on a residential mortgage. I am in the process of acquiring another property on a residential mortgage and I am looking to convert my existing mortgage into a regulated buy to let so that my parents can live in my old house. Having done a bit of research it looks as if a regulated buy to let is our only option, given the family connection.
The situation is a little more complicated because my parents will be unable to meet the full cost of the open market rent for the property. Therefore, I plan to support them by paying part of each month’s rent myself.
Having not been through this process before, is anyone be able to tell me whether the lender will check rental affordability for my parents? I am worried that on paper the rental figure will not look affordable for them, and therefore if a check is carried out the mortgage may be refused.
As stated above, I plan to support them by paying part of each month’s rent myself and I am comfortable that this would be financially sustainable on an ongoing basis.
Any advice would be great.
Thanks in advance.