Is Freehold Terraced House > Leasehold Flat?

greatcrested

jumperabv3 said:

eddddy said:

jumperabv3 said:

As a landlord of a freehold house do I mainly need to take care of the property insurance? The rest is just regular upkeep of the property?
And with a freehold house it would be easier to Airbnb the place later on once Coronavirus is gone?

It sounds like you might have a lot of research to do before you move forward.

If you want to do AirBnB, the things you need to consider include:

• Insurance (regular landlord's insurance probably won't cover it)
• Mortgage (a BTL mortgage wont allow it)
• Planning consent (you might need planning consent for change of use)
• ... and therefore pay business rates on the property

2) Mortgage - already have it

How can you have a mortgage on a property you have not yet bought? Or even found?  ????

And this mortgage you claim to have: is it a residential one? If so you'll need CTL which you are unlikely to get, and certainly not for Airbnb. If it is a BTL mortgage, again - read the terms; it is unlikely to permit Airbnb.

You have a lot of research/learning to do. For standard (AST) letting, see the stickies:

Post 7: New landlords (1):advice & information :see links in next post

Post 8: New landlords (2): Essential links for further information

Post 9: Letting agents: how should a landlord select or sack?

For AirBnb, use Duckduckgo (or google if you must). eg

https://www.landlordlawblog.co.uk/2016/10/31/airbnb-renting-law-legal-obligations/

https://www.telegraph.co.uk/investing/buy-to-let/the-airbnb-pitfalls-that-could-end-up-costing-you-thousands/

jumperabv3

greatcrested said:

How can you have a mortgage on a property you have not yet bought? Or even found?  ????

And this mortgage you claim to have: is it a residential one? If so you'll need CTL which you are unlikely to get, and certainly not for Airbnb. If it is a BTL mortgage, again - read the terms; it is unlikely to permit Airbnb.

You have a lot of research/learning to do. For standard (AST) letting, see the stickies:

Post 7: New landlords (1):advice & information :see links in next post

Post 8: New landlords (2): Essential links for further information

Post 9: Letting agents: how should a landlord select or sack?

For AirBnb, use Duckduckgo (or google if you must). eg

https://www.landlordlawblog.co.uk/2016/10/31/airbnb-renting-law-legal-obligations/

https://www.telegraph.co.uk/investing/buy-to-let/the-airbnb-pitfalls-that-could-end-up-costing-you-thousands/

Sorry, we live in a society where everything goes fast, so many posts and short messages can be vague and perceived as one thing and not the other. I will try to explain myself in more details then.
I remortgaged an existing property, did an equity release, you can see previous posts of mine in the mortgage forum. The mortgage is against an existing property - what am I to do with the money is up to me really, like a cash buyer, anyway bottom line is = the terms are against the existing the property, not the new one I'm looking to buy. In another words you can treat me as a cash buyer and ignore the mortgage "clause".

Thanks for the links themselves - my main question or actually my million dollar question about Airbnb besides fulfilling obligations to several other parties is how to protect myself against "squatters" / "over-stayers" or however they are named? e.g. someone books for 1 night, and then stays "forever" - just like in those TV shows you see about "Nightmare Tenants, Slum Landlords" (you can watch it on YouTube, I quite like that show) ... so is there any document I can tell in advance to anyone who books that if he tries to do that he can be physically forced to be thrown out by a private bailiff without having to go to court etc.? I mean how exactly do you put fences around this issue? This is my main concern besides studying the obligations to fulfill.

One more thing, at the current climate I would probably be looking to normally rent the place out, Airbnb in the current climate is not something I'd probably want to deal with, on top of things I'm currently overseas and won't be able to do a proper Airbnb (unless if there are companies willing to do that for a fee?)

So I'm just slowly getting into the idea of doing it but by all means it's not something I'm looking to do in the next few weeks nor in the next few months.

Thanks again.

greatcrested

There are few people on this forum who specialise in or fully understand airbnb - there may be specialist airbnb fora where you can get better advice.

But there are both legal and practical problems with it that you need to fully understand, esp if you are abroad. It's one thing to rent out a room in your home via airbnb on an adhoc basis, where you can evict as a resident landlord, clean the room after and so on. Renting the entire property, from a distance, and managing constant change-over of guests (assuming they leave....) is a different ball game. It's also clearly a business, with tax and Planning implications as well as the legal ones.

As I said previously you've a learning curve to climb.

As for the mortgage thing- yes, clearly you're a cash buyer so that was an unnecessary irrelvance. Sorry I did not search all your previous posts on the other board before responding!

jumperabv3

greatcrested said:

There are few people on this forum who specialise in or fully understand airbnb - there may be specialist airbnb fora where you can get better advice.

But there are both legal and practical problems with it that you need to fully understand, esp if you are abroad. It's one thing to rent out a room in your home via airbnb on an adhoc basis, where you can evict as a resident landlord, clean the room after and so on. Renting the entire property, from a distance, and managing constant change-over of guests (assuming they leave....) is a different ball game. It's also clearly a business, with tax and Planning implications as well as the legal ones.

As I said previously you've a learning curve to climb.

As for the mortgage thing- yes, clearly you're a cash buyer so that was an unnecessary irrelvance. Sorry I did not search all your previous posts on the other board before responding!

Thanks GC. It's okay. I think I would slowly research the topic, in the meantime yes, it would just be regular rent, during this climate there is no chance in the world I'd even think of doing Airbnb, might not even do it for a year or two as Airbnb and the likes are very unstable in the current climate. Thanks.