Register company for Private rent

sgitw

Hi, i am recently thinking about renting out one of the spare property i have.

Thinking about this, and wonder if there will be any benefit or risk by setting up a company and to rent out the property?

I am thinking about this because i thought then maybe i can discount any cost of repair, insurance etc as lost to offset my earnings etc

Anyone got any ideas? thanks

G_M

Not worth it for one property.

* New landlords: advice, information & links

* Letting agents: how should a landlord select or sack?

Alderbank

You might be interested in this article from the Telegraph which discusses the pros and cons of exactly what you are considering:

http://www.telegraph.co.uk/finance/personalfinance/investing/buy-to-let/12150052/Buy-to-let-How-to-set-up-as-a-company-to-save-tax-and-when-its-worth-it.html

Note that among other things you would need to sell the property you own to the new company at full market price

Miss_Samantha

Alderbank wrote: »

Note that among other things you would need to sell the property you own to the new company at full market price

You don't have to.

The pros and cons are best discussed with an accountant.

Alderbank

Miss_Samantha wrote: »

You don't have to.

My mistake, you're quite right. Thanks for correcting me

csgohan4

would it not be possible to open a limited company to act as a letting agent to receive rent and therefore claim expenses????

sgitw

thanks for all the advice, i will check more facts and how it works with a tax advisor