Another residential/commercial/mixed quandary

Itismehonest

We're considering putting our property on the market as we would very much like to downsize but have recently discovered that, because it is now classed as mixed residential/commercial, any buyer requiring a mortgage will need to take out a residential mortgage on the house & commercial on the buildings that, prior to our retirement 7 years ago, were holiday cottages.

Can anyone please advise the best way of tackling this from our side as it seems to make life unnecessarily complicated for all concerned ....... unless we specify cash buyers only to an Estate Agent.

Forgot to mention that all the property is under one set of deeds & all buildings rely on the main house for power, water etc.

Itismehonest

No ideas?
I was hoping that someone here was able to give some pointers from either a mortgage, estate agent or solicitor's background or point me toward the sort of professional to ask.

GDB2222

Are the holiday cottages empty, or do you occupy them as outbuildings from the house?

Itismehonest

Some were decommissioned when we retired so we didn't have to pay CT on all of them. There is one 2bed 2bath still set up. We had thought that it would enable a new buyer to start trading straight away but ........
We pay CT on it. Apparently it's our 2nd home :mad:

BTW The cottages have Planning Restrictions of 10months & max. 2 week lets. There's apparently no chance of getting permanency (National Park - we even offered to have them used for young locals) although the Planning said they may 'look kindly' on allowing use for an elderly relative.

GDB2222

You really want to look at selling this as a business proposition, then, rather than residential. These groups of holiday cottages typically come with a 'main house'. I hope that the decommissioning process was not too drastic? You should also check out the CGT position.

Itismehonest

Thanks for the reply
The decommissioning was the usual removal of anything which made it habitable - kitchen fittings & loos. It would be a simple process to reinstall. We had to do it as the alternative was to pay around £7000pa in Council Tax.

The biggest problem we have if the place is sold as a commercial concern is answering all the questions about how much the income, costs etc. would be now. In all honesty, after 7 years of retirement, we just don't know.

It really is, as I said before, the sort of place for people seeking a lifestyle change. It was the old style thing of a 'home with income' which no longer seems to be allowed as far as mortgages are concerned.

We've been told CGT shouldn't be a big problem given the years that have passed since we retired.