candy wy.

So if i was to rent out my house do I have to inform the mortgage company. due to the crappy economy as we all know house are not selling well at the moment and my thoughts are to rent it out till things improve.

meauxna

I only heard of that for UK mortgages; it was a new idea to me for the US and I rented my house w/out telling the company. You do need to update the insurance though.

candy wy.

Thanks, didn't know if it applied to US. Makes life a lot easier if it doesn't.

MsElui

we signed a new mortgage last week and the closer said one of the docs required it to be our main residence and not let out. He seemed to be saying that only valid at the beginning but i didnt go into more detail so might be worth looking at your papers!

Redwing

Friend of mine owns 20 houses, most are mortgaged and all rented out, except the one they live in.

Noorah101

When you buy a house, they ask if this is your primary residence, or if it will be a rental. Not sure if you change the one you've already got as your primary residence into a rental...I've never done that.

Pharrya

Look in your mortgage docs - see if there's anything to that effect. When you close on a mortgage they'll ask and usually ask you to sign something that says 'This is our primary residence' - Mortgage defaulting is higher on BTL properties than residences.

One thing though - you'll have to tell your municipality / county / whomever you pay property tax to. You won't be able to get a homestead credit on the property anymore (assuming you have one)

candy wy.

don't get homestead credit so not a problem, think I will just rent it and not worry to much about the mortgage company, they dont seem to care who pays the mortgage as long as it is paid. {mortgage still in late husbands name and they know and have not said anything yet..}

Tarkak9

normally its important that its not rented out in the first year of you owning it otherwise it could be looked at as blatant mortgage fraud.
(FHA loans are for primary residences only).