-

-
Honey Badger Online
- Member

-
- Posts: 704
- Joined: Tue Jun 09, 2015 10:20 pm
- Location: Toilet Roll Castle
Sun Dec 16, 2018 11:24 pm
Jacqueline
Jacqueline_180912 wrote: ↑Fri Dec 14, 2018 9:20 pm
We could rent our house for more than it would cost to rent a place where I want to live.
Would we be allowed to do so if Mother had savings less than 23,250 or would some of the profit count as an asset?
Trying to be creative here!
I was in the same dilemma when I stopped working due to increasing care demands, I couldn't afford my home to sit empty but also did not want to sell up because of the risk of ending up homeless if caring suddenly ended. Worked out easier to have caree's live with me meant much less bureaucracy, easier to manage/track finances and keep everything in the black (just)
Main perk of renting out a single property to someone is that you are keeping it lived in while you can't live there yourself. Income wise your probably going to just break even when you weigh up cost of maintenance/repairs (stuff breaks even with good tenants) Thats about it though
Making money out of renting is more suited to those with a property portfolio because they will usually mostly have above average/good tenants with maybe the odd bad apple and be able to actually make a return on what their doing.
You have the extra admin to deal with (income tax) as well as all the various inspections and certification required by the council in order to be able to rent it out. You have to abide by building/safety regulations etc (
https://www.gov.uk/renting-out-a-property). Put into perspective presently EPC (energy performance certificate) is up to £100 alone, some places more and if its an older property they might actually turn around, say you don't meet them.. then you would have to pump even more in to remedy it.
Off the top of my head, an example might be with older properties that have been maintained well/never have stuff break, something catching people out is they think when the boiler dies its a straight forward replacement but its not because you've got things like UK building regulations on the gas mains (loads of older homes still aren't on the 22mm standard for gas mains). So a few hour job turns into something else entirely. Heaven forbid part of the piping is "embedded" partially in any way shape, form. And so on.. rules are always changing
As always seek advice from professionals in that area of expertise. It might be in your case theres a way to make it work.
Best wishes