katherine 4

Hi
We are planning to rent our property in UK before moving over to Oz.
Has anyone got any good/bad experiences with agents or tenants.
Any advice on what to do or not to do would be appreciated.
We are thinking about "guaranteed income" option. Has anyone used any agencies for that?
thanks

JAJ

Are you moving permanently or temporarily?

Discussed at:
http://britishexpats.com/wiki/House_in_UK-Keep_or_Sell

Usually you pay for any kind of "guaranteed" option. If you set the rent at a market level, you shouldn't have difficulty finding tenants.

h2oskineil

Some banks do not allow you to rent out your mortgaged property and you may be forced to change the mortgage. We were with First Direct and 7 years ago they were ok, but I know in the past few years (we have sold it now) whenever I mentioned on the phone that it was a rental property, they said, "That's not allowed" and I had to produce a letter stating that I had been granted permission.

Use the advanced search at the top.... you'll find lots of info.... I posted this info in the past, might be useful:-

You have to complete a NRL1 form http://www.hmrc.gov.uk/cnr/nrl1.pdf
Without this form being submitted the agent looking after the property has to deduct the tax from the rental received.
With the form completed, you will receive all the rent less the agents fee and it is then up to you to complete a tax return.
The income from your UK property will be recorded on your Australian tax.

I had Landlord insurance.... strongly recommend as if your tenant looses their job, becomes ill and cannot pay the rent, the insurance will pay until you get a new tenant.
We used a company called Letsure, but there are others http://www.letsure.co.uk/

In an uncertain world, it's good practice to obtain protection. Tenant's circumstances can change for any number of reasons, so it's prudent to minimise the risk to your income. Rentsure Silver can assist to protect your rental income. The insurance provides:

Rent Guarantee Insurance; protection to pay the monthly rent for up to 12 months on breach of tenancy agreement
100% of the rent paid until full and vacant possession is obtained
75% of the rent paid for up to 2 months once full and vacant possession is obtained until the property has been re-let
Covers monthly rents up to £5,000 (or higher upon request)
Covers Legal Costs up to £60,000:
to obtain possession of the property on breach of the tenancy agreement
to defend a Legal Action brought against you by your tenants
to remove squatters
Pays the cost of alternative accommodation up to £50 per day or a maximum £1,500 per claim
Cover is only available for properties to be insured within England, Scotland or Wales
Insurance premiums are a tax deductible expense

The downside of not selling you UK property, might be you have no option but to continue renting in Australia..... have you rented before?

Almost everyone will advise you to rent for a least 6 months to decide on a suburb and the right location etc, but if you need to sell the UK property to buy here, you may have to sell eventually in a couple of years? Would the house be easier to sell now or will the condition deteriorate after having tenants in a for a few years? If the housing market is still depressed when you decide to sell, you may have a harder time to sell the property if it needs painting throughout, garden needs tidying etc etc. (just some things to think about)

Like i said, check out the search at the top and then "Advanced Search" and you'll find lots of info.

Good luck.