Mortgage Lender/Rental

[apd]

If a property was purchased by a FTB using a standard tracker rate from a bank. And subsequently the property is rented, will the bank change the mortgage rate to an investor rate?

 

[LDFerguson]

There is usually a condition on the mortgage deed that you must inform the lender before creating any tenancies. When you do this, they may increase the rate, but if you've had a perfectly clean payment history since the start of the mortgage, I would argue with them not to bother.

Don't forget to advise the house insurance company as tenants in the property is a very relevant fact for house insurance.

 

[jhegarty]

If a property was purchased by a FTB using a standard tracker rate from a bank. And subsequently the property is rented, will the bank change the mortgage rate to an investor rate?

don't forget stamp duty claw back in your sums...