Telling the bank our apt is rented

R

Redback

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We are meeting with AIB on Friday about the possibility of selling our Dublin apartment. We are hoping buy a house in countryside.
We moved abroad for 3 years and continue to rent the apartment to the same tenants even now on our return.

We think we will get selling the apartment for whats currently owed on the mortgage outstanding, so little or no neg equity.

My concern is that our mortgage is a Tracker mortgage 0.5%
We have paid all the associated charges with being a landlord like NPPR, PRTB and have informed Revenue to cancel TRS (which they did) and paid tax on the rental income.

I have just seen in another thread here a poster was asked to submit accounts and proof of various items and then the bank said they were in breech of their mortgage t&cs and pulled the tracker from them. :(
We did go through the contract to see did it say anything such as 'must ask bank for permission to rent the property' etc but couldn't see anything obvious.
But I would guess that if they wanted an excuse they can aways refer to t&c that says 'you must tell the bank of any change in circumstance'.
Probably doesn't make much difference but always be on time with repayments etc.


Im just nervous going near AIB and don't particularly want to be giving them more info than they need. But it seems obvious that they will ask about employment and we will have to tell them we were in Australia and then they'll ask about the apartment. i guess we will have to tell them it was rented and pray they don't take tracker of us.

Anyone experience of this happening.
Thanks in advance.
 
Why are you meeting them ? Is it because you want to sell ? Or do you want to discuss getting another mortgage after the sale ? My advice would be to simply ask them for premission to sell and leave it at that, in fact I would not even be willing to just talk to them, I'd sooner just get everthing in writing.
 
You don't need permission to sell if you can repay the mortgage.

You need to consider that a tracker mortgage on an investment is very cheap and this 'investment' may be a good long term investment. Post figures if you want to figure this out.

Why are you buying a house in the countryside if you now live in Australia?

It depends on the contract whether the bank can pull you off the tracker to an investment.

Name the bank please.

(What poster did you see losing their home loan tracker as it was an investment)
 
We are hoping to sell the apartment and keep our mortgage to bring over to a new property as its a tracker.
We might need an additional 20k so hoping to ask AIB for that ontop
 
No way will the bank go for that. They want you off the tracker. In my opinion you are wasting your time.

In order to buy the second property they will indeed want to know your salaries and you're not going to be able to hide where you are.

You need to think about this a lot further.
 
I misunderstood you and assumed you were back for a holiday. Now I realise from your other threads you are trying to buy a family home.

This all depends on your contract, they cannot pull the tracker from you if the terms and conditions don't allow it. It's not just trackers, but people with ordinary mortgages with investment properties can not be switched to investment mortgages unless the contract has it in there (I have a home loan on an investment property which the bank has always known about).

But your problem is not solved by this. You want to move the tracker and their rules on moving presumably state it must be your home. So my advice based on this is to know their rules and comply with them. Moving back into the property may be an option. But how are you going to explain lack of bank accounts. As far as I know banks look at bank statements going back many months now.
 
Bronte, you're clearly more familiar with all of this than us.
Would you recommend we go to a broker rather than AIB?

We re both lost!
Others appear to be able to port over their tracker with AIB, so why wouldn't we? is the difficulty arising because we've it rented out?
Surely there must be lots of people who had apartments on trackers, rented them out and have since sold them to buy bigger houses to accommodate their changing circumstances.

At this stage, Im not even sure where we could go for some proper advice. We are happy to pay for it!
We had met with a broker a month back but he told us to ask the bank to go interest only and led us to believe our case for getting a mortgage was hopeless!
 
Give your tenants notice & move back in. Get all the utilities in your name again. Wait six months after this & then apply for a mortgage. I'm presuming you are working in Ireland again & can also get employment confirmation & salary certs.
You may need to wait for a year to be able to show your Irish P60s if you really want to avoid the Australia question with the bank.
 
I agree with Butter. I know no better than anybody, but I do know this, no way would I go near AIB until I knew their rules and the questions they will ask, and prepare myself accordingly, and hands up I've told banks what they wanted to hear in my time.

Looks like you are putting yourself under pressure to get THE house quick, sure fire way to trip up.

Broker was useless, try another. It is probably because there was no money to be made from you. Try a professional poster on here - LD Fergusen. Pay for advice, this is something fairly simple so it shouldn't cost a lot.

And stop focusing solely on the tracker - which seems to be holding you back.
 
There are three different threads started by the OP. All giving slightly different info & scenarios.
 
Butter said:
There are three different threads started by the OP. All giving slightly different info & scenarios.
Click to expand...
I think there are more, very difficult to piece together the full scenario. Why do people do this just give full situation to get best advice.
 
i think you need to talk with property layer for complete detail. Your case need highly professional layer for solving the issue.
 
I have posted something similar in relation to buying a second property and trying to hold onto tracker on first. Also in tracker section there is this topic on similar idea,

"Do Banks talk trackers to each other ?"
 
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