Consent To Let: Residential Mortgage With Consent To Let

Consent to let

Consent to let is a legal, written arrangement between you and your mortgage lender that allows you to rent out your home. Or a portion of your property—for a certain time. It’s the only option to lawfully rent out your house without getting a buy-to-let mortgage. More than the definition, we want to show you what a residential mortgage with consent to let is and the rates thereof.

Consent to Let permits you to temporarily modify the terms of your home mortgage arrangement. Not all lenders provide this service, and those that do usually only provide permission for a limited time, usually six to twelve months, but on certain occasions up to 24 months.

It is critical to understand that consent to let is only meant to be temporary. It is not a permanent modification to your mortgage agreement, and it is not a long-term letting solution.

If you plan to rent out your house for an extended period of time, you can apply for consent to let while changing your home loan to a buy-to-let mortgage rate.

There are a few reasons why you could require permission to let. Lenders are usually ready to assist in these situations:

  • Firstly, you must be temporarily relocating for work or have signed a short-term work contract in another country.
  • Secondly, you’re moving in with a companion and want to rent out your current property while you look for a new one.
  • Thirdly, you’re taking a trip for a few months.
  • Fourthly, you’re going in with a sickly relative.
  • Lastly, you are a member of the military forces serving in another country.

When you ask for consent to let, it is not assured that you will be given approval. There are usually a few conditions that must be met. Your mortgage lender, for instance, may require the following:

  • First, your mortgage payments must be current and paid on time, with no arrears.
  • Second, you must accept to rent your property on a guaranteed shorthold basis.
  • Third, you can only have one tenancy agreement for your property.
  • Next, you cannot apply for a new loan on the property while it is rented out.
  • Finally, you must inform your home insurance provider of the new mortgage arrangement because it may affect your coverage.

Depending on the lender, there may be additional terms. As an example:

You may only be eligible to apply for consent to let if you’ve been a customer of theirs for at least six months.

There will be no multiple tenancies, and there will be a maximum number of renters on one agreement—for instance, up to five people.

You may need a certain amount of equity in your house, such as at least 25%.

Next, you may be required to achieve a minimum income requirement.

It’s quite improbable that you’ll be able to sublet a property with a Help to Buy mortgage. One of the terms of the government’s Help to Buy Equity Loan Scheme prohibits you from renting out your house.

If you want to sublet, you must first repay the Help to Buy equity loan. The only conceivable exceptions are personnel of the Armed Forces who are on a tour of duty away from home. Permission to sublet may be considered in extraordinary instances such as these.

Enter the key through an open front door.

Can I rent out my property to family members?

It is possible that it will be determined by the lender. Some mortgage providers will not grant consent to let for family members, therefore, you may need to apply for a family buy-to-let mortgage rate.

What happens if I rent out my property without first obtaining permission to do so?

You’re breaking the law if you rent out your property without first getting permission from your lender. If your mortgage provider finds out, they may charge you a penalty and raise your interest rate. It will also be far more difficult to remortgage because you will have harmed your credit rating by breaching your mortgage agreement.

Your mortgage lender, on the other hand, may take additional steps and insist that you repay your home debt quickly. If you are unable to do so, they may repossess your home.

In a nutshell, it’s not worth the risk.

If you fail to make mortgage payments, your home may be repossessed.

Consent to let is not without cost. There are a lot of additional costs to consider before renting out your house.

Lenders will normally charge you an additional percentage rate or a one-time fee on top of your regular mortgage rate. Some lenders impose both fees.

When you become a landlord, even for a short time, there are additional fees to consider. These are some examples:

  • Insurance for landlords
  • If your rental income exceeds £1,000 per year, you must pay tax on it.
  • Fees for letting agents
  • Costs of maintenance and repair
  • Legal fees for contract preparation.

When renting out your property, you will also have duties and roles as a landlord, such as:

  • installing smoke detectors
  • obtaining a boiler gas safety certificate
  • presenting your tenants with the Energy Performance Certificate for the property
  • verifying that all furnishings adhere to Fire Safety Regulations


  • Allows you to move without the stress of having to pay two mortgages.
  • Can generate rental money whether you’re away on vacation or at work.
  • Provides you with the assurance that your mortgage payments will be met.
  • A nice option to ‘test out’ renting without fully committing to a buy-to-let mortgage.
  • It’s a lot easier and less time-consuming than having to refinance.


  • If you can’t locate tenants, you’ll still have to pay your mortgage.
  • The associated costs might be costly and may outweigh any profits you may generate from rental income.
  • You’ll be saddled with the additional duties that come with being a landlord.

When the agreed-upon leasing permit period expires, the terms of your residential mortgage will revert to their original state.

If you want to keep renting out your house, your lender may be willing to extend your consent to let or convert your existing mortgage to a buy-to-let mortgage.

This does not obligate you to accept your lender’s offer. If you decide to move to a buy-to-let mortgage, you should shop around and evaluate your options to see if you can obtain a better offer.

Whether you’re acquiring a buy-to-let mortgage for the first time or converting from residential mortgage rates with consent to let. You must still meet the lender’s standards and go through the standard application process.

Buy-to-let mortgage rate criteria are often harsher than those for a residential mortgage with consent to let, with eligibility depending on your credit score, income, and how much rent you would charge, among other things.

Lenders may be more hesitant to accept applications for buy-to-let due to the increased risk. As an outcome, you will frequently be required to put down a larger deposit (25–40% of the property’s value), and you may also be exposed to greater fees and interest rates than with a residential mortgage.

If you have a conventional residential mortgage with consent to let, you must notify your mortgage provider and check that you are permitted to rent out your property before letting it out.

Again, if you possess the residence outright and without consent to let mortgage on it, you are free to rent it out as you see fit.

However, whether you own outright, have a consent-to-let agreement, or have a buy-to-let mortgage, you must guarantee that your residence is in an acceptable condition to let to tenants.

To ensure that it satisfies the required criteria, you must:

  • A qualified engineer can provide you with a gas safety certificate.
  • Get a Certificate of Energy Performance.
  • Ascertain that all electrical installations and appliances on the property fulfil safety regulations.
  • Check that the structure and any furnishings comply with fire safety rules.
  • Install smoke detectors.

In exchange for a share of the rental income, many landlords will hire a rental agent to manage everything. Landlords can save a lot of time by using a letting agent because they can:

  • Publicize the property.
  • Deal with tenants directly, including any complaints or emergencies.
  • Prepare the paperwork, such as credit and reference checks, as well as the tenancy agreement.
  • Use a tenancy deposit system to safeguard your tenants’ money.
  • Organize property services and inspections, such as a yearly boiler service.

Landlords have the option of handling everything themselves. If you do not use a letting agency, you should join a landlord association. Or accreditation scheme to demonstrate that you adhere to professional standards and to keep you informed of any changes to letting rules and regulations.

When you rent out your home, you must also contact your home insurer because your current residential insurance policy will not cover the additional risks connected with leasing a property. Landlord insurance can cover buildings and belongings, as well as particular coverage such as rent loss, home emergency, and property owners’ liabilities.


Consent to let is a legal, written arrangement between you and your mortgage lender that allows you to rent out your home. Or a portion of your property – for a certain time. It’s the only option to lawfully rent out your house without getting a buy-to-let mortgage.

The good news is that it’s fairly easy to get consent to let to cover you for a short time, such as during the changeover period to a buy to let mortgage or move to a new house. Most lenders will be happy to give you temporary permission to take on tenants while still under the terms of your normal mortgage

his is approval from your lender stating they are ok with you renting out a property that they have provided mortgage funds for. It means you will not remortgage to a buy-to-let product, you’ll stay on the same deal and continue to pay your mortgage payments.

Consent to let would allow you to rent out your home to a tenant while you’re away, so the income could help cover the mortgage. That’ll mean you’ve got more funds available to rent elsewhere.

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