Advice Please

Ian73

Hi all, i dont know if this is the right section or not but here goes

I live in a terraced house with my g/f (mortgage etc) & my dad has a 3 bed semi he rents out(he lives elsewhere).Is there any reason why i can't rent my house out @£400ish a month,and live in my dads house paying his rent which is £400ish,he will be signing over the house to me & my brother in the future,so when the time comes i will basically sell my house & pay my brothers half...with me so far?
The reason i dont just buy his house is that its out of my reach fianacially.
The only pitfall i see is if i dont have a tennant for my house...
I have taken into account higher bills etc aswell

Any advice would be appreciated

Ian

jamesd

There's no fundamental problem with this. You'll need permission to let from your mortgage lender and insurance for a let property instead of one you're living in.

Ian73

Cheers thats pretty much what i thought,just needed to ask on here,to see if anyone came up with anything i had over looked

Cheers

Ian

silvercar

Does your dad have a mortgage? If not he may have to pay tax on the rent he receives from you.

There are tax /inheritance planning issues your dad needs to look at, at some point, but nothing to stop you moving now.

rentals are a bit like sales in that at the right price you will find a customer.

zkeithz

Ian,

Only one minor point. If you are receiving, or may in future receive housing or Council Tax benefit, there are some minor rules which prevent it being paid in some circumstances where renting from relatives. Ways around this include using a third party, ie an agent to collect the rent, thereby not revealing the ownership. O rent in girlfriend name on the assumption she is not related to your father.

Regards
keith

zkeithz

Ian,

Only one minor point. If you are receiving, or may in future receive housing or Council Tax benefit, there are some minor rules which prevent it being paid in some circumstances where renting from relatives. Ways around this include using a third party, ie an agent to collect the rent, thereby not revealing the ownership. Or rent in girlfriend name on the assumption she is not related to your father.

Regards
keith

zkeithz

Ian,

Only one minor point. If you are receiving, or may in future receive housing or Council Tax benefit, there are some minor rules which prevent it being paid in some circumstances where renting from relatives. Ways around this include using a third party, ie an agent to collect the rent, thereby not revealing the ownership. Or rent in girlfriend name on the assumption she is not related to your father.

Regards
keith