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Rent and let out residential
Newheight13
Posts: 228 Forumite
We live in our residential and currently have a BTL. We meed to move into a house but can’t afford at present, and selling is too costly at present.
If we were granted consent to let, could we live in a rental and continue to let our our BTL and resi? One the the consent expires, could we have 2 BTL’s and continue to rent?
Thanks!
Thanks!
0
Comments
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Yes, no requirement (perhaps mortgage conditions) to own the house you live to be a landlord.
Nothing stopping have 2 - or 17 - rented out properties whilst living elsewhere somewhere you rent from someone else.
Mortgages, insurance could be a problem.
For many years I've lived in wife's house (with her) and had at one time 4 rental properties, now only 1.1 -
Many thanks, that’s useful to know.0
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Home ownership is normally a requirement of BTL lending.Newheight13 said:If we were granted consent to let, could we live in a rental and continue to let our our BTL and resi? One the the consent expires, could we have 2 BTL’s and continue to rent?0 -
Just a thought to the above - if I was ever to see my old residential, would it be signet to capital gains? It’s gone up 70k since I’ve bought it and wouldn’t want to be taxed 24% on that?0
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Yes, depending how long you rented it for you would be liable for CGT. Also, once you move out and live elsewhere it stops being your main residence, so if you sell it in the future to buy elsewhere you would not get the additional stamp duty relief and have to pay additional stamp duty of 3-4% depending if you are England or Wales.Newheight13 said:Just a thought to the above - if I was ever to see my old residential, would it be signet to capital gains? It’s gone up 70k since I’ve bought it and wouldn’t want to be taxed 24% on that?1 -
As housebuyer143 says, once it ceases to be your main residence then you potentially start to build up a CGT liability for when you come to sell it but (under current rules) it wouldn't apply to the whole gain since you bought it.Newheight13 said:Just a thought to the above - if I was ever to see my old residential, would it be signet to capital gains? It’s gone up 70k since I’ve bought it and wouldn’t want to be taxed 24% on that?
Roughly the calculation is something like
[ (selling price - buying price) - (buying and selling costs) ] x (months let out / total months owned)1
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