Yes. 100% certain.Do you think this will scupper my chances of changing from 4.5% to a lower rate based on my LTV?
I have now received a letter from the bank asking if my change of address means the property is no longer residential and is now a buy to let meaning the interest rate will be affected!
I did not actually realise that changing from PPR to rental affected the interest rate? Do you think this will scupper my chances of changing from 4.5% to a lower rate based on my LTV?
Don't apologise - I'm happy to be corrected.Sorry Onion
So, you switched to their MVR <50% rate, although house was already rented?
Sounds more likely the guy in the Bank was not paying attention, you should have been moved to buy to let rate, it is not your PPR, that is why they have these rates after all, what happened in your situation it is not unusual but also is not the norm either, that said...good for you.
Now my turn to say sorry. I don't follow?The Surveyor was cynical about it though, he had rentals of his own! He was the only bug bear
Re necessity, yes there are some provisions in CCMA that could prevent them from changing the rate, but they would only apply where it's the only residential property that you own in the state.to rent a house because of necessity should not penalise the mortgage holder
Failing all else, most banks have a clause that would allow them to make the mortgage repayable on demand if it's no longer your PPR. Could well be shoddy paperwork with PTSB.Don't think they can change the legal letter of mortgage, that is what we were told. It is what it is
I did not actually realise that changing from PPR to rental affected the interest rate? Do you think this will scupper my chances of changing from 4.5% to a lower rate based on my LTV?
Why would the valuer care? It's a standard valuation form regardless. Did he delay because he was ticking a box to say the house wasn't rented?
I had used said valuer before, the Bank picked him but he was a pure messer. Sent back to me a valuation with the wrong address for starters so when I chased him he verbally said I shouldn't be entitled to the drop in interest rate as the house is rented. The bank was fully aware and the entitlement was there. I did formally complain to PTSB about the guy. Hope he had a fun time selling his apartments, pure wheeler dealer, country is unfortunately full of them.Now my turn to say sorry. I don't follow?
Why would the valuer care? It's a standard valuation form regardless. Did he delay because he was ticking a box to say the house wasn't rented?
Don't apologise - I'm happy to be corrected.
So, you switched to their MVR <50% rate, although house was already rented?
Very helpful. I found the letter of approval for the mortgage. It doesn't say either way if it's PPR or notOP, I did reply to this but the mods deleted the response thinking I was de-faming Onion. That persons post simultaneously arrived when I was replying to you.
I say the part in bold and underlined is rubbish, they cannot do that. I also have a mortgage with PTSB from 2003 which was for a PPR. We informed Revenue that the house was being rented and to drop the TRS, that was done. The fixed rate came to an end in 2013 and we approached PTSB for a payment holiday thinking it would revert to a BTL rate as customer service had indicated. The manager of that branch simply looked at the letter of mortgage and indicated as it was a PPR mortgage it would drop to the PPR rate.
So please check your letter of mortgage, if it says PPR mortgage then challenge the view of PTSB. My house is still rented and I pay the PPR rate not the BTL rate. I also availed of the <50% PPR rate reduction recently.
Sorry Onion but that is the case with PTSB that I have personal experience of
Thanks.So, to summarise for the OP, if I have this correct?
The bank might have a contractual right to change rate from PPR to BTL once house is rented.
If they do have the right, they'll use it once they're aware property is rented, except in specific circumstances (PTSB have previously commented on cases where circumstances force owner to leave home, but they haven't purchased another PPR).
Unless OP is absolutely certain that the bank does not have the right to remove PPR, they should do nothing.
Bank would become aware through OP telling them directly, changing correspondence address, or getting MVR valuation report which has a checkbox to say if property is owner occupied or rented.
There must be something in the letter of mortgage. Mine says residential loan. Even got a new letter offering 3.2% fixed rate for 5yrs which I may take upThanks.
Any ideas how I could 'be absolutely certain that the bank does not have the right to remove the PPR'. How can I find this out? Contact the original solicitor we used when we bought the house (2005)? I don't even know if he would have kept records from that far back.
Unfortunately I'm not familiar with the PTSB terms and conditions, but I know they weren't very robust historically. You need to find out exactly which condition now allows them to change from PDH to BTL rate, and then check that this condition definitely isn't in your contract.Thanks.
Any ideas how I could 'be absolutely certain that the bank does not have the right to remove the PPR'. How can I find this out?
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