If you are a shared owner you are not able to sublet and if you are a leaseholder you might need to get permission from us. This is when you lease your property to someone else. The sections below tell you more about subletting depending on how you own your home.

Shared owners

Shared ownership leases do not allow subletting and if you are a shared owner you are required to live in your home as your main residence. This is because the shared ownership scheme is a government funded scheme which is intended to help people into homeownership. 

However, in very exceptional circumstances we may be able to give permission to sublet for a limited period of time. You will need to speak to us to discuss your specific reasons for wanting to sublet. It may be that you will need to consider selling your home if you want to live somewhere else.

If we do consider that you have an exceptional reason to sublet it will be subject to the following conditions: 

  • Permission to sublet is only for a limited time. Initially we will only agree to subletting for six months. At the end of the initial six month period, if you want to continue subletting you will need to apply to us for an extension of our permission. We will consider extensions at six month intervals up to an absolute maximum of two years. After this length of time you will need to either be living in the shared ownership property or you will need to sell it.
  • You will need to let the property on a six month fixed term Assured Shorthold Tenancy and the rent payable must not be more than the cost of your monthly mortgage, rent and service charge payments. We will agree to an addition of up to 15% on top of this to cover letting agent fees. 
  • We are not able to agree to any subletting on a commercial basis such as holiday lets or Airbnb.
  • The tenancy agreement needs to mirror your lease in terms of what is and is not allowed. For example, in relation to not causing a nuisance, parking restrictions, rubbish disposal, pets. If your tenants breach any terms of your lease you will be held responsible for allowing the breach. 
  • You will need to use a reputable letting agent to vet your tenants and to carry out the Right to Rent check as required by the Immigration Act 2014. You will also need to use a letting agent to manage the tenancy. This is to minimise the risk of letting your property to tenants who will cause problems to you, us or neighbours, and to have a company experienced in managing tenancies to deal with any issues with your tenants including ending the tenancy when your permission to sublet expires.
  • You will need your mortgage provider's written consent and we will need to see a copy of this. Your mortgage provider may charge you for this and they could charge a different rate of interest on your mortgage if you sublet.
  • We will need your contact address and telephone number so we can send you correspondence and contact you if there are any problems with your property or tenants. If you will be living abroad we require a correspondence address in England or Wales.
  • You will remain responsible for all repairs to your property and for all charges payable to us.

There is a fee for us providing consent to subletting your property. Please see our Administration Fees.

You should also note that if you become a landlord you will take on additional responsibilities to your tenants including:

  • Carrying out annual gas appliance safety checks and ensuring that gas installations are safe. 
  • Carrying out safety checks on any electrical appliances provided.
  • Ensuring any furniture you provide meets safety standards. 
  • Keeping your property maintained and carrying out necessary repairs.
  • Ensuring there are smoke detectors and carbon monoxide detectors in the property.

You should also consider the following:

Leaseholders

If you own a flat and you are not a shared owner, your lease will say whether or not you are able to sublet your home. If you need our permission to sublet we are usually able to agree subject to the following conditions:

  • You will need to sublet using an Assured Shorthold Tenancy agreement that includes the same restrictions as your lease. We are not able to agree to properties being sublet on a commercial basis such as for holiday lets or Airbnb. 
  • You are responsible for your tenants and their behaviour. If there are any issues we will let you know and expect you to deal with your tenants directly. If they breach any terms of your lease and this is not rectified, we will take legal action against you as the leaseholder.  
  • You must give us your contact address and telephone number. If you are moving abroad we need a correspondence address in England or Wales. 
  • You will remain responsible for paying charges to us.

There is a fee for us providing consent to subletting your property. Please see our Administration Fees.

You should also note that if you become a landlord you will take on additional responsibilities to your tenants including:

  • Carrying out annual gas appliance safety checks and ensuring that gas installations are safe. 
  • Carrying out safety checks on any electrical appliances provided.
  • Ensuring any furniture you provide meets safety standards. 
  • Keeping your property maintained and carrying out necessary repairs.
  • Ensuring there are smoke detectors and carbon monoxide detectors in the property.

You should also consider the following:

  • If you have a mortgage it is your responsibility to get their permission.
  • Make sure you have contents insurance if your home is furnished and make sure your insurer knows you are subletting.
  • You may want to consider taking out landlord insurance.
  • Subletting your home can have tax implications.