Is there anything stopping me doing this? Will I be penalised in anyway?

PixarFan

Is there anything stopping me doing this? Will I be penalised in anyway?

Hello. I currently rent a flat. I live with a friend, but the flat is only in my name – my name only on the tenancy. However, we both are registered to live at the property and both on the council tax bill. I am currently buying my own house. My flatmate needs a little more time to find another flat. My plan was, to carry on renting this flat for 3-4 months once I move into my house so that my friend could stay here until they have sorted their self out with a new job, flat etc. The flat would stay in my name but my friend would simply transfer me the whole rent (instead of half as they do at the moment) at the end of each month. I would also keep all bills in my name but again, when they come in, my flatmate would simply transfer over the money to me.
My question is, I will also be having to pay my own bills on my new house, including council tax – is there technically anything stopping me being registered for bills and council tax at two different addresses?
I know some replies might say although it is legally ok (I am hoping!) it is more to do with trust, but I would like to assure you that trust is not an issue in this situation.

Thank you so much for any replies.

marksoton

Disaster written all over it...

agrinnall

What Mark said.

What happens when your flatmate moves in 6 of his pals, refuses to leave at the end of the tenancy, sells the LLs furniture, runs amok with an axe, etc, etc? The one financially responsible is guess who?

csgohan4

What if you friend decides not to pay and leave the place a mess?


Or worse converts it into a cannabis farm

eddddy

If you're buying with a mortgage, that could be an issue.

Your liability to pay the rent (and bills) will affect your affordability, so your lender might decide that you cannot afford the mortgage repayments - so they might withdraw the offer.


Some people might say that if you don't mention it to your solicitor or your lender, and you pay all your bills on time - nobody will be bothered. But other people might say it's mortgage fraud not to tell them.

gfplux

If you totally, totally trust your friend. If you have seen them living their life just as you would it might work.
I see no problems EXCEPT Insurances and Council Tax.
I would have a "if someone did this" conversation with someone at BOTH Councils. Also talk to an insurance broker.
As has been said. You main exposure is your friend dropping you in it.

AlexMac

Don't panic because of the Doomsayers.. Not a problem. The Council Tax and Utilities peo[ple don't care whose name is on the tanency agreement;

so assuming you want to do your mate a favour and you trust 'em (we need more trust in this world!) just tell the Council Tax and Utilities people you no longer live there and who the "new" occupier is. Take meter readings and tell the gas and power providers. They will take your word for it and won;t even think of telling the landlord.

That damage limits you to the rent only if your bestest freindie !!!!!! on you and does the dirty.

And maybe take some cash off them against the deposit in case they trash the place or fail to clean it on check - out and you don;t get it back from the landlord. They should agree as you are doing 'em such a favour

Everythings legal here (exept seriously criminal and illegal stuff)

Alter_ego

Any clauses in your lease re sub letting?

marksoton

PixarFan wrote: »

Hello. I currently rent a flat. I live with a friend, but the flat is only in my name – my name only on the tenancy. However, we both are registered to live at the property and both on the council tax bill.

So you're subletting effectively, or certainly will be. Is the LL aware of this?

Friend or no friend this is asking for trouble on so many levels.

G_M

PixarFan wrote: »

.....
I know some replies might say although it is legally ok (I am hoping!) it is more to do with trust, but I would like to assure you that trust is not an issue in this situation.

Thank you so much for any replies.

Well you were right there!

Legally speaking, when you move out, your friend will have exclusive occupation, so will no longer be your lodger. Friend will be your tenant. So you will be his landlord.

The rent he pays you should be declared as income to HMRC, and all other responsibilites of a landlord of an AST will apply. Taking a deposit (suggested above) might be sensible, but then by law you'd have to register it with one of the schemes.

I suspect you wish to make this a 'mates agrement'. If you really mean what you say aout trusting him, then a mates agreement should work.
* council won't care
* landlord (presumably) won't know
* utilities unchanged
* not sure your mortgage lender would /could know in which case won't affect your mortage.

But you need to understand the implications if things go wrong. If your mate lets you down in any way, the repercusions could be like a chain reaction. So

* if he moves others in (lodger to help with rent?) and they don't leave
* he does not leave
* he stops paying you the rent
* or the utilities
etc

all could lead to a very nasty outcome.

tealady

If your friend can afford the rent have they thought about asking the landlord can they become the official tenant when you move.