Intelligent Finance Mortgages

Posted on 26 March 2015 by Maria

I have a small house in London and in 2004 I advised my mortgage lender - Intelligent Finance - that I was letting it out and they agreed to this. But IF have recently contacted me to say permission only now applies for three years at a time and that they will now be levying an annual charge of 1% pa of the outstanding mortgage amount because the property is let. Are all the big lenders doing this and can you advise of any who aren't so I can switch my mortgage? Thanks

Hi Maria,

Most residential lenders will usually allow a 'consent to let' for a set period of time, but once this has expired they will either expect the borrower to remortgage away to a normal Buy To let product, or they will will 'load' the rate you are currently on as this is no longer a residential mortgage.

If you'd like to discuss what other alternatives may be available to you, then please let me know and I'll arrange a convenient time for you to talk to one of our consultants.

Answers provided in response to Ask the experts are based on the information provided and do not constitute advice under the Financial Services & Markets Act. They reflect the personal views of the authors and do not necessarily represent the views, positions, strategies or opinions of John Charcol. All comments are made in good faith, and John Charcol will not accept liability for them.

We recommend you seek professional advice with regard to any of these topics where appropriate.


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