Renting a house with ptsb tracker

Advicepls

Frequent Poster
Messages
83
Hi there,

I have a tracker mortgage on my home which I may be renting out in the next year.

I was originally on a fixed rate when I took out the mortgage in 2006 and when I came off this went straight on to a tracker. There is actually nothing in the mortgage documentation that I can see to state this, it just states the 2 year fixed rate.

At the time I emailed the bank to see what rate I would be going on when the fixed rate ended and they gave me some options of fixed rates, but that if I didn't choose one of these, they said "Your mortgage will always be 0.80% above the ECB".

I can find nothing in the mortgage doc to say that the rate changes if I rent out my home. My concern is though, say ptsb find out I am renting out my house after about two year, and they have some sort loophole that means I have to go on to a different rate, could they make me pay all the interest I should have paid over the previous two years?

I really want to do everything above board but I know that the general consensus is to not notify the bank as they will definitely try to take the tracker off me and put me on an astronomical rate. I don't want to be in a position where I owe thousands though.
 
Last edited:

walshd

Registered User
Messages
39
You will need to cancel your first time buyers on the rental property as it will no longer be your principle private residence so they will know it's rented out. The fact it's rented shouldn't affect the tracker as far a I am aware.
 

BICIP

Frequent Poster
Messages
150
Thats good. Am in same boat. Did u just ring and ask for written confirmation or whats the story?
 

thedaras

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Messages
813
Thats great news Advicepls..So it is correct to say that you can now rent out your house and keep your tracker?
 

Advicepls

Frequent Poster
Messages
83
Thats great news Advicepls..So it is correct to say that you can now rent out your house and keep your tracker? thedarasThats great news Advicepls..So it is correct to say that you can now rent out your house and keep your tracker?
Yes, should I need to rent my house in the future I won't lose my tracker - yay! I was a bit alarmed at first as after only querying would I lose tracker should I NEED to rent the house, I then received a letter saying that my mortgage had changed from a homeloan to investment property and to send in a utility bill. It was on this letter that it said it bold writing that my rate does not change. So I rang ptsb and said that I am still very much living in the house with no plans to rent it out yet. I spoke to a nice lady on the phone who said they had no template letter to deal with my query, so she sent me that one as proof the rate won't change, as it was the nearest thing she had to my query - mad :confused:
 

scober

Registered User
Messages
11
I rang PTSb today and after holding for 25 mins the lady came back and advised to put the request in writing. She advised it would not effect my tracker or interest rate for now! When I asked her on this was advised to sent in writing the request.
Not sure if I have my T&C of mortgage still.
 
P

PiedPiper

Guest
is it your only property

While it is your only property owned by you in the state its automatically your PPR and must be treated as such.
 

Mouldy

Frequent Poster
Messages
82
I wrote to PTSB to ask the same question. Got a reply saying that while it’s not “Currently” the policy to the change the agreement on trackers if residential house is rented out or vice versa, PTSB reserved the right at any time to change the tracker rate if the loan agreement had been changed, which it would be in the case of renting out a house. According to them anyway.
Reading between the lines, this was a bank that was not going to invalidate its own interpretation of its loan agreement by stating in writing that they definitely wouldn’t take away the tracker. But they have no immediate intention of doing so.
 
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