Renting my current property to Council Tenant

adzsheffield

I have a 2 bed Terrace that i have been looking to rent out for the past few years.

My Grandma has recently had her husband pass away and she is looking to move closer to my mum, it has been discussed that it might be an ideal to rent the house to her and the housing association would pay her rent to me etc.

My current mortgage is with Halifax and is a fixed interest only at 5.05% the outstanding balance is 64,500k and costs me 270 per month as a mortgage.

My question is what do I need to do to rent this property out to my grandma?

Do I need to speak to the Halifax and look at a buy to let mortgage?

Do I need to have landlords insurance?

Do I need to contact the council and register as a private landlord?

The benefits of renting my house to my grandma are that firstly I know she isn’t going to wreck the place two she isn’t going to want to move out is 6 months or 12 and it will be a guaranteed income on the mortgage

Any help would be appreciated.

HappyMJ

adzsheffield wrote: »

I have a 2 bed Terrace that i have been looking to rent out for the past few years.

My Grandma has recently had her husband pass away and she is looking to move closer to my mum, it has been discussed that it might be an ideal to rent the house to her and the housing association would pay her rent to me etc.They's pay some of the rent to your grandma it may not be all of it depends on how much she has coming in by way of a pension. Then she pays you by standing order.

My current mortgage is with Halifax and is a fixed interest only at 5.05% the outstanding balance is 64,500k and costs me 270 per month as a mortgage. You'd need to declare it to tax office and pay tax on difference between rent and expenses.

My question is what do I need to do to rent this property out to my grandma? Set up an assured shorthold tenancy

Do I need to speak to the Halifax and look at a buy to let mortgage? Yes but you may be able to get "consent to let"

Do I need to have landlords insurance? yes buildings insurance

Do I need to contact the council and register as a private landlord? no but i read on another thread in manchester areas you do so check.

The benefits of renting my house to my grandma are that firstly I know she isn’t going to wreck the place two she isn’t going to want to move out is 6 months or 12 and it will be a guaranteed income on the mortgage

Any help would be appreciated.

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