DaveUK

Hi there,

We might be about to buy a coastal property with a substantial annexe. Really lovely and will mostly be used for when family come over on their epic stays

However, when they aren't here could we rent it out on a short term basis to anyone else (we have already had queries from 'friends of friends').

Could we use the potential rental income to secure a mortgage?
Are we actually allowed to do it in what is primarily a residential area? It wouldn't be a Bed and Breakfast.

If no-one knows the answer can anyone recommend a good Financial Advisor that might be able to help?

Thanks all

ABCDiamond

I see no reason why not, but the Tax Man will want his cut
We did that in Sydney, and the Mortgage Lender took account of the income, as it was regular, but then it was a seperate granny flat that we had.

DaveUK

Thanks for that. We were just worried about Rural/residential zoning issues. It would essentially be an annexe for the Grannies and Grandads!

ABCDiamond

If it's just Relatives and friends, then any financial "contribution" would not be classed as rent and the Tax Man would not be involved in that

Zoning laws: No problem, they are just guests, whether paying or not, staying on your property.

I think you have nothing to worry about

DaveUK

Super thanks so much for that. Much appreciated.