inherited property advice... who to seek advice from?

newdave1975

mufi wrote: »

I found myself in a similar situation a couple of years ago, when in my late 50s. Having no wish to become an accidental landlord I sold, with no regrets.

The letting agent is one of the big high street ones (3 prospective ones she got) all said the same thing, you can be as involved as much or as little as you want. Yes there is the fees, some money to set aside and insurance to fill in the gaps. Even counting all those additions she was coming out with around £400 pm.
As with everything though I do agree research and read the small print.
Dave

jennifernil

I would expect it to be PLUS VAT, and no doubt a number of other fees too.

By the time you have got the house in order, and ready to let, I would not expect it to show much profit in the first year, if not longer.

An agent will use their usual people for any repairs, and they are unlikely to be the cheapest.

Tax is only a consideration where there is an actual income, if she makes a profit then she will pay 20% tax on that if she is already over her personal allowance.

If she has the money in the bank, she will be able to get some interest tax free.

Assuming she is 65+, I really would not think becoming a landlord is the best option.

newdave1975

Mossfarr wrote: »

Dave,
I'm not going to criticise you about how you've got where you are today and I don't think anyone else should either. None of us know what you've been through so why should we think we have any right to judge??
Having got that off my chest.......
as a landlord myself, my personal opinion is your Aunt would be much better selling. Being a landlord is a lot of work and unfortunately there are an awful lot of very bad letting agents out there! Don't for one minute think that you sign up with them and leave everything to them and just bank the rent money. As a landlord you have legal responsibilities which are yours and yours alone - gas safety certificates & deposit protection for instance.
Have a look at the members forum on the Residential Landlords Association website (https://www.rla.org.uk) there are enough horror stories on there to send you running for the hills! There is also an abundance of fantastic advice for new or would be landlords. Their £80 (or so) annual membership fee is worth every penny.
Your Aunt just needs to do some research then make a decision.
mossfarr

Thanks for your understanding, it has been difficult and partly because executorship was thrust upon us (there were 2 of us, one since passed away - more complications) ... Taking into account of what my aunt wanted too, there were no debts to pay so nothing HAD to be sold.
As for renting well, that's what we need to look into, selling will take longer. We have been advised that we could have the property rented out in weeks. All the time the council tax now being 150% which she will still be responsible for. Renting seemed like the answer.
Dave

newdave1975

Kynthia wrote: »

So the letting agent will charge 11% of the monthly rent. Does that include everything, or is it 11% plus VAT, is there an additional fee of 1 months rent to find and vet a tenant, is the inventory and the quarterly inspections extra, etc?

Well according to the agents that 11% is what they call fully managed. Finding and vetting remnants, rent collection and regular inspection of the property.
Initial out lays advised amounted to about 2 months rent. thst included legally required certificating. A cash reserve was required too for any emergencys (this to be kept at a level but is refundable if unused)
Dave