Buy to let to a relative.

[redhead]

Hi,

we would like to transfer our house to a buy to let mortgage in order to rent to my sister and her children. We would purchase a second house. We know that our money all adds up rent and mortage wise and our broker arranged a mortgage for us. Having looked at the application forms this morning the mortgage company will not allow us to rent to a relative.

Are there any companies that will, and would we pay over the odds. We dont want to b2l to anyone else. I will contact my broker as soon as I can, but would appreciate any help you can give.

Kind regards.

[pippay]

I believe there is certain legislation that prevents B2L to a relative - not sure what it is though - I only know that when my daughter was looking to B2L to me, she came across the same problem and this is what she was told. I think there is something else in place but you'll have to scour around B2L lenders that info unless someone on here knows ..

[BikerBob]

My advice would be dont do it - I rented a flat to my sister and her family and we had all sorts of disputes which has totally ruined our relationship. I know you'll think it wont happen to you, but theres a fair chance it would.

Seriously, think this through - could you go to court to evict your sister?

[redhead]

Thanks for your replies, as it stands now we have found a specialist bank that do allow you to rent to family (clydesdale).

Sad as it sounds, yes I would go to court to evict my sister, if she felt our relationship meant so little that she could abuse it I would have no issue acting on it.