Sell your house yourself [buy to let mortgage]

Q: Hi All,

I have heard about selling your home yourself on a or rent. Has anyone done this and if so, do you think it a good idea.

Thanks
guy


A:Thanks for all the comments. I didn't know the correct terminology but thanks to those who understood what I meant.

A:I did that sort of, but I have a and a normal mortgage, I just remortgaged one as buy to let and bought the other. My mortgage company allowed us to live in the buy to let whilst we completed on the res' mortgage. I let to my sister on a long term basis, I wouldn't do it otherwise, not enough return for the risk imo

A:I think the OP is referring to a little known product which is a let to buy mortgage…not a buy to let….
On this type of mortgage you let your current home AND buy another one.
http://www.alanboswell.com/mortgages/let_to_buy.aspx

We looked at doing it 6 years ago but I bottled it just before exchange with the thought of all that personal debt and the possibility I could loose BOTH homes if it all went wrong!

a let to buy tho, is fairly popular now, theres at least 3 people a day here asking about them! I didnt think it owuld be classed as "selling it to yourself"


A:I think the OP is referring to a little known product which is a let to buy mortgage…not a buy to let….
On this type of mortgage you let your current home AND buy another one.
http://www.alanboswell.com/mortgages/let_to_buy.aspx

We looked at doing it 6 years ago but I bottled it just before exchange with the thought of all that personal debt and the possibility I could loose BOTH homes if it all went wrong!


A:Hi,

This is perfectly feasible, but it's not so much "selling your house to yourself", rather you remortgage onto a Buy-To-Let product.

However, you will almost certainly need another address before applying for the remortgage, as you are not allowed to live in the property that is mortgaged under buy-to-let conditions.

This is for the simple reason that a buy-to-let mortgage is underwritten on the basis that you will have rent paying tenants, and to this end part of the underwriting process for a BTL mortgage is confirmation of your address post-completion.


A:There's nothing to stop you taking a btl mortgage on your current house then letting it, and moving somewhere else yourself, but why would you need to "sell it to yourself"?
Is this a new government ploy to get people to pay stamp duty for no reason whatsoever?:confused:

A:Not a wind up. Had heard of it and then my mum said she heard someone talking about it on LBC radio the other day. I wouldn't live in it I would rent it out and buy another property.

Vas


A:What do you mean sell it to yourself? :confused:

A:I dont know where youve heard this from!

I also expect that if you sold it to yourself, youd have to pay more than what you paid for it in the first place

and a BTL mortgage usually needs the landlord ( ie you) to ensure that your tenant ( ie you) pays 125% of the mortgage on the property.

Surely this is a wind up or someone is having you on


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