permission to let from bank - agreement with tenant

[charlottenina]

have a residential mortgage on house and we need to find the flat ( downsizing) close to work. can we ask the bank to let us to rent our house on a residential property and then buy the flat with residential mortgage. we have put 25% deposit on the house and have had it 2.5 years. I spoke to bank they said ok but I need to get assured short tenancy agreement with the tenant. can this agreement be signed with just one person? do I then have to declare rent + claim expenses I put for repairing the property on my self assessment form?

Yea you can ask bank for permission to let. You will probably be penalised with a rate increase or similar.

The tenancy agreement is signed by the landlord and tenant. I don't understand your question about it being signed by just one person.

Yes, you obviously should declare the rental income on your self assessment form. Look at HMRC website for what expenses you can deduct.

ditto - rental is income and it is fraud not to declare it. You can deduct quite a lot of stuff as expenses, get advice.

remember to change to a landlord insurance policy too, and if you are new to this you would do well to employ a reputable, efficient agent. The hard bit is finding one!

Yes you have to declare it to HMRC (there is space to offset maintenance cost and mortgage interest payments on SA form) and it is up to lender whether they think you can afford to do this. Could you cover all the repayments (including Council tax, utliites etc) if you have a gap between tenants for example. Not sure what you mean by one tenant though ?

Not sure what your motivation is as you mention downsizing here but BTL, temporary separation and proximity to schools/work on similar threads. However if as you posted elsewhere , it may be a way of securing a school place in another borough I fear you may get caught out by LA even assuming you get as far as buying a second home.