First time landlords: opportunity to rent to friends but want it all legit

G_M

Lots of good points in the posts above. But

pph wrote: »

......
In the meantime a friend has said they might be interested in renting the place which would be good as we'd avoid the 13%+VAT managed agent package we would go for.

Why would you save 13%?

Either you need an agent to manage the property rental, or you are able to manage it yourself. I don't see why the tenant being a friend (at least when you start out the tenancy!) makes a difference.

AlexMac

Agree G_M and others. Being a landlord just means doing a bit of rsearch on AST and legal obligations...

...then having a bit of common sense , a few phone numbers of suppilers or contarctors and not being afraid to spend a few quid the minute you need a leak fixed, a new boiler, washing machine, cooker, fridge, bed or whatever. Preferably as soon as your tenant reports the problem.

I had a tenant report a dead boiler when I was on hols in Italy; my trusty builders replaced it a couple of days later; two phone calls.

So- grasshopper - do you have the Peace of Mind to be a great landlord...?

I self-manage and have had little hassle and saved thousands

Old_Git

I rented to a friend from work .I knew him however I didnt know his partner .she was the tenant from hell .

zagubov

I've been a landlord and a tenant and known many people in both positions. While I agree that it doesn't always turn horrible I would say that it can be very positive to rent from a friend, I have also seen that it can easily become very negative when you rent to a friend.

These relationships can very easily become assymetric. By all means do it but brace yourself for a great deal of potential hassle.

Marvel1

Would you evict for non paying rent?

justme111

My now partner rented my friend's house for a year , been great for both of them as one got reduced price no hassle close to me house and another got an opportunity to ease off into letting the house which stood empty for a year before. Everybody has been happy. So it can work.

Stevie_Palimo

There is always two sides to these situations and I have a couple of places I rent out and one is being rented by a family member of my other half, Hassle free I must add for about a year and would hope it stays this way.

I cannot guarantee that I will never have any issues but I cannot say that I will have problems either and it would boil down to each individual tenant that rents from people, Even if the lads are young if you know the parents well enough and they can provide a deposit then start off on a 6 month contract, You may be pleasantly surprised and I rented my first place at a very young age and never once caused any issues or defaulted on my rent at that time.

cloo

I think letting to friends is OK - letting to friends of friends is possibly more one to avoid.

pph

Thanks all - really useful reading as always from the MSE community!