Renting my house for 6 months.

simon109

Hi,

My partner and I are looking to go to Fuerteventura for 6 months, we will be working and renting a house out there. We don't want to sell our house here but obviously need to rent it out to pay the mortgage. We have recently just remortgage on a fixed rate. Not really sure where to start with what we need to do over here regarding our house/mortgage ?

Thanks.

Pixie5740

simon109 wrote: »

Hi,

My partner and I are looking to go to Fuerteventura for 6 months, we will be working and renting a house out there. We don't want to sell our house here but obviously need to rent it out to pay the mortgage. We have recently just remortgage on a fixed rate. Not really sure where to start with what we need to do over here regarding our house/mortgage ?

Thanks.

You don't necessarily have to let your home. You could get a house sitter or leave it empty which might be less expensive option than letting it.

You will consent to let from your mortgage lender. You will also need to follow all the relevant housing legislation, if you don't it can come back and royally bite you in the !!!!.

Assuming you are in England or Wales read G_M's Guide to Tenancies in England/Wales which includes specific information for new landlords. Landlord in Wales have extra obligations such as requiring a licence. Landlords in Scotland have a different set of laws to follow as do landlords in Northern Ireland.

JoJo1978

First step would be to contact your current lender and ask if they will provide consent to let. If not then you'll need to investigate BTL remortgage options.

Research the guides on here about your obligations as landlords. If you're OS you'll probably need to hire a managing agent who will take a cut of the rent.

There are also taxation and insurance implications that you need to read up on before you make any decisions to rent your place out.

If you're definitely only away for 6 months I'd consider getting a house-sitter in and/or popping back regularly as an alternative to being a landlord, which can be costly and time consuming.

Slithery

What will you do if the tenants don't leave after 6 months?

PokerPlayer111

Slithery wrote: »

What will you do if the tenants don't leave after 6 months?

Cant you just get like a winter/spring let 6 month contract, i see winter lets all the time by me.

Pixie5740

PokerPlayer111 wrote: »

Cant you just get like a winter/spring let 6 month contract, i see winter lets all the time by me.

That would still be a legally binding AST (if in England or Wales) which could only be ended by the tenant or a court.

Slithery

Just because a tenant has a 6 month contract doesn't mean they have to leave after 6 months. If they don't want to go you would have to go to court to get them evicted, currently this takes an average of 40 weeks after you serve them notice.

Mahsroh

Think you'll probably find it will be cheaper to leave empty.


- 6 months rent. First month will disappear in letting agents fees.
- Initial cost to comply with legislation - gas safety certificate, for example.
- Continuing letting agent fees for management of property (especially if you are overseas)
- You will require consent to lease which will mean an increased interest rate / mortgage repayment and likely a product fee. You may not even get consent to lease if you've only just re-mortgaged.
- You will have to pay income tax on any "profits".


On top of all that, as others have said, there is no guarantee that the tenants will agree to leave at the end of the 6month tenancy.

AdrianC

If covering the mortgage for six months is utterly impossible without a tenant, can you afford your six months in the sun?

What happens if your jobs there go south for whatever reason? What happens if you want to return early? Will you have jobs to return to?

PokerPlayer111

Slithery wrote: »

Just because a tenant has a 6 month contract doesn't mean they have to leave after 6 months. If they don't want to go you would have to go to court to get them evicted, currently this takes an average of 40 weeks after you serve them notice.

my god, just leave it empty imo.

Slithery

Also factor in the possible cost of the tenant not paying rent for the 10 months it will take for you to get them evicted.