bank account for joint landlords?

newfoundglory

What would be the best way of managing both a property and rental income where the house is jointly owned by two family members?

(I suppose this also depends on whether the rental money is collected and distributed by an estate agent, as presumably an estate agent would split the money after taking any of their fees).

The problem is:
1. Both individuals pay different amounts of tax.
2. There will be expenses maintaining the property, boiler servicing will need to be shared etc.
3. joint personal account or even a limited company?

sal_III

Why over complicate it if you trust each other? Get the rent paid to one of you then transfer the relevant part to the other. Declare the relevant income in your respective tax returns.

tacpot12

I manage a rental property that is jointly owned by myself and my partner. I opened a business bank account with HSBC in our joint names; HSBC setup online access for just me as my partner trusted me, but I don't think there would be a problem with getting her a user ID setup and linked to the account if she wanted to keep an eye on the income and expenses.

I do our self-assessment tax returns online and declare half the net income on each. I use an old version of Quickbooks to track the income and expenses, but you could use MS-Excel or the google docs version of Excel to do this.

newfoundglory

Trust is absolutely not an issue, and a joint-account seems like a good idea (at least in my head).

It seems there could be so many insurances, expenses and fees (tax deductible) which will need to be paid out that it makes sense to have a separate account that both could access and make payments from the in absence of the other.

There are also existing domestic items which need replacing due to age (fridge, washing machine and cooker), which I believe also benefit from tax relief.

It will also probably need several thousand pounds of work in some areas.

Does it need to be a business account? I'm assuming probably not.

flashg67

My partner & I have a joint (non business) current account, we both have access and keep a simple spreadsheet with all income & outgoings.

We both pay different tax too, but the rental income (profit/loss) & expenses are just split 50/50 when it's time to do the tax return