Best? Sell student house with tenants or not?

crofter007

I am selling a house that I have let to students for the past seven years. Is it best (financially) to sell the house as a going concern with students in place for the next ten months or to sell the house empty? Also would there be a great difference in the tax paid selling it after only seven years. Am I right in thinking there is no tax to pay after ten years?

Thanks in advance

silvercar

If there are students currently living there, delaying the sale would be your only option if you wanted to sell empty. If it is a typical student house, in the middle of student land, the only disadvantage in selling with students in situ is that the place will look a mess.

The tax paid will depend on the profit made on sale. Sale price less purchase price less costs associated with buying and selling gives you the basic profit figure. Unless you have lived in the property as your main residence, expect to be taxed at 18% on the gain, less your personal allowance of £10,100 if not used elsewhere.

Post some figures if you want a rough calculation.

crofter007

Thankyou for that, no problems with the house being a mess when selling as i would sell in summer months when house is empty and could have students lined up for tenancy from 1st September, the house is in student land 10 min from uni. i would like to know if the house would be worth more selling with new students already having signed a tenancy agreement, selling it as a business not just a house!

Thanks