Moving in with Partner and Letting Property in Negative Equity
Posted on 30 April 2009
My partner has a residential mortgage and wants to move in with me and let his house. What is the best way to do this? He does not have any equity in the house at present.
As your partner has no equity in the property (a minimum 25% equity is required for a Buy to Let mortgage) it will not currently be possible to remortgage and so, unless funds are available to reduce the mortgage to a maximum of 75% LTV, his only option is to ask the current lender for permission to let and explain why he wants to do that. Most lenders will look favourably on such a request in the circumstances you outline, although they may increase the interest rate and will probably charge an admin fee.
Categories: Buy-to-let
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