strange rental arrangement

newrenter

I've been living in a new place now for almost 2 weeks. The rent arrangement is pretty strange becuase it goes to some man (subletter I think) in greece (uk bank account tho) and then apparently on to the landlord. The strange thing is how the landlord maintains the house and has already fixed the leaking sink tho I never see the person I pay the money too. The landlord seems to do much more work than the actual person ment to be subletting.

Anyone have any ideas why I dont pay direct to the landlord? Is it some tax dodge? Fiona

may_fair

newrenter wrote: »

I've been living in a new place now for almost 2 weeks. The rent arrangement is pretty strange becuase it goes to some man (subletter I think) in greece (uk bank account tho) and then apparently on to the landlord. The strange thing is how the landlord maintains the house and has already fixed the leaking sink tho I never see the person I pay the money too. The landlord seems to do much more work than the actual person ment to be subletting.

Anyone have any ideas why I dont pay direct to the landlord? Is it some tax dodge? Fiona

Is the rental property in England/Wales?

By 'landlord' do you mean the owner of the property? Do you know his name and have you checked who owns the property on Land Registry online?

Are you sure that the person who fixed the sink is not in fact the agent for the landlord (living in Greece)?

How did the tenancy come about? Did you rent via an agent, from an ad?

Can you give more details and tell us the names (not real names, just call them Mr X, Mr Y, Mr Z or whatever) of:

1) the account name of the person you pay rent to
2) the person named as landlord on your tenancy contract
3) the person who fixes the sink
4) the person named as the property owner on Land Registry
5) the person who introduced you to the property and arranged the tenancy

princeofpounds

Your landlord is the person who granted you the tenancy (assuming they did so legally) not the property owner (who will be the 'mesne landlord').

If your landlord is abroad then it is your responsibility as a tenant to retain tax money for HMRC otherwise they can come after you for it, not that I have ever heard of them doing so. It's a stupid rule as tenants actually have no way to check, but it does exist. You pay into a UK bank account, do you also have a UK address on the tenancy? (No rent is due if not!) At least that way you might have some sort of defence.

On the other hand this 'subletter' could just be an agent of the LL. Who has their name on the tenancy agreement?

newrenter

1) the account name of the person you pay rent to

Mr. X

2) the person named as landlord on your tenancy contract

Dont have a contract (its verbal); Mr. X

3) the person who fixes the sink

Mr. X

4) the person named as the property owner on Land Registry

am going to find out.

5) the person who introduced you to the property and arranged the tenancy

Mr. Y

Subletter is Mr. Z in greece

Tenancy cam from a friend of a friend (mr. Y) so an advert really, definitely not an agency.

thanx

may_fair

If you pay rent to Mr X and your verbal agreement is with Mr X, then Mr X would appear to be your landlord.

Why do you think Mr Z is your landlord?

newrenter

Mr. Z I thought was landlord because he owns it. land registry is a bit expensive, is there any cheaper way to get the info?

x

princeofpounds

Land registry should be £4.

RAS

If you are paying someone outside the UK they either need to provide your with an exemption certifiate from the HMRC or you have to deduct 20% of the rent and pay HMRC direct.

G_M

The Land Registry. Download the 'Title'. If you can't afford £4 to protect yourself....!

Tax rules where you pay an overseas landlord here.

If you have not been given, in writing, an address in Eng/Wales for the Landlord (it can be his agent, a friend, his mum) you do not need to pay rent. Details here. And Section 48 of the Landlord & Tenant Act 1987 here.

If you ask in writing the person who you pay rent to for the LL's address, he has 21 days to tell you. Criminal offence not to. Details here.

I assume you are not sharing with the 'landlord' (which would make you a lodger)?

Have you paid a deposit? Is it protected in a scheme? See here.

All the above assumes England/Wales.

newrenter

Thanks for all the replies guys. Will the land registery give me the rent the leaseholder pays to the owner? On the website it says Price Paid/Value Stated Data: No.

btw, 4) is: Mr. X
Does that mean mr. y the leaseholder is my landlord?

I am sure there is a proper contract between owner (mr. x, sink fixer) and leaseholder (mr. y). BUT I dont have a contract with the leaseholder tho and am wondering if the leaseholder is creaming something off the top and not paying taxes. Is it something that could catch me out? Should they be paying taxes on profit and who to? UK gov or Greek gov?

thanx again

x

ps.
no protected deposit, think it just went to the last girl that left who I replaced so she had her deposit back. not lodging with leaseholder. Not very keen to not pay rent as then Ill get chucked out!!

G_M

The person named on the Land Registry Title owns the flat. Flat are (in 99% of cases) bought and sold as leasehold. The price paid for the lease is usually, but not always, shown on the LR site. The owner of the lease (leaseholder) usually pays a 'ground rent' to the freeholder (who owns the ground on which the flat is built) but this is a nominal amount (eg £40 each year).

You can ignore the freehold/freeholder. The 'owner' of the flat is the leaseholder (Mr X ?). It would appear he is your landlord as
a) he owns the flat
b) he receives your rent (though see below)
c) he fixes stuff!

You need his address. Without this you do not have to pay rent.

Have you paid a deposit? To who? Did you get a receipt? Is it in a registered scheme? Which one?

Having said that, I'm unclear who you pay rent to. You said:

The rent arrangement is pretty strange becuase it goes to some man (subletter I think) in greece

(Mr Z ?) but also you said:

1) the account name of the person you pay rent to

Mr. X

So Mr Z might be renting from Mr X and subletting to you, in which case Mr Z is your landlord. Who do you pay your rent to?

Yes, if you pay rent to an overseas person (Mr Z) you may be liable for his UK tax on the rental income he is receiving. See the references in posts above.