tony s

Undecided.We had our house fall through in a chain after 4 months.Its back on the market now,but a friend said to me about renting it out.Does anyone have any views on this whether its a good idea?

DrWho

There's the view that says if you rent it out and things don't work out in Oz then you've still got a foot on the UK housing ladder so life won't be as painful as it might be if you return...

And there's the one that says if you have a bolt hole to run to you might not be quite as committed to your new life as you could be and that might be the difference between making a go of it or returning to Blighty...

I guess the coin flip is down to you...!

tony s

hi yeah know what you mean.Life would be so much easier if we knew wouldnt it|?

Pookster

We didn't sell. Make that wouldn't sell.
Why?

Because the rent my house in the uk gets, covers the mortgage

I'm renting here in Perth and saving to get a deposit together for a house here, then we'll have two. Everyone knows '2 is better than 1!'

If things go wrong here, which I doubt, then we have the bolt hole.

If it all works out here, then our house is a nice pension bonus!

If we'd sold our UK house and moved to Perth with £200K or $500K then I can guarantee that we would've spent more on everything than we did. I'm sure I wouldn't've been able to resist a nicer car than my 97 Ford Falcon ($5000), and a plasma tv would be nice, etc etc. But we're here happy and still own property, does it really matter where it is?

There you go, that my opion anyway
We've been here for 7 months and looking forward to it warming up abit!

tony s

What are the hidden costs though on renting it out.

Pookster

Firstly rent unfurnised not even a cooker unless you really have to.
I think you'll find that tenants who already own everything are also the type that want longer term rentals which is exactly what you want.

Anything you leave in the house you are responsible for. Forever. If the fridge breaks, which it will, you pay.

You need a gas cert. You don't need an elec cert, that's just for selling I think.

Unless you rent to a good friend or relative both risky, you'll need an agent, just read the contract v carefully because unless you've paid off your house you'll be wanting that mortgage covered.

Tell your mortgage provider you'll probably need to switch to a landords mortgage, same for insurance

I was going to use one of those guaranteed rental agents until my best mate of about 15 years offered me £3500 cash for 6 months rent up front and redecorated and carpeted to boot! And yes the 7th months rent has been paid. Which was a relief!!

why

this is good advice....it's a safety net
and do the completely unfurnished thing..
much less to go wrong.
i didn't do this and really regret it.
friend of mine did it and they are megga cashed up now.
it doesn't make a difference to get here with "not a lot" and "all" your money.
you will just spend it.
it's much more of an adventure to arrive with nothing it makes a good story to tell.....
"i used to live in a shoe box on the side of t' road"..........

tony s

Are you ata all worried about if the property is ever left empty?Did you have to take many funds with you thanks

h2oskineil

Check out landlord insurance... we use http://www.letsure.co.uk/

Quote...........

Tenants can fall into arrears for many reasons, even those with favourable references. Can you afford to lose monthly income?

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 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:
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
A Letsure Comprehensive Tenant Assessment will satisfy all the referencing requirements of Rentsure Silver Insurance. The Letsure Tenant Referencing Service is available online.
****************

Also have British Gas Homcare 400 plan so that everything from wiring to gas pipes are covered should there be a problem.
https://www.britishgas.biz/boiler_br...ndingpage.aspx
Neil.

Pookster

If my friend moves out which he plans to in 2 years I'm going to go with the guaranteed rental people. What they do is come round and say there and then how much they will pay to rent my house from me. They then try and rent to the public themselves.

The amount they offered me was about £300 / month (I'm getting £500 from my mate) which doesn't cover the mortgage but hey it's only about £100 notes short a month. And £25 / week sounds like quite a cheap way to own a house. Of course there will be maintenance costs etc on top but I still believe it's the way to go.

Thanks for those links h2oskineil looks interesting......

kez81

We sold ours now wish we had rented house prices were i use to live have more than doubled.

kezx

tony s

Thanks guys im in a bloody dilemma.Not knowing what to do x

tony s

Does anyone know how much you would need to go out,to set yourself up ,day to day life if i rented mine out.

why

well think of going on holiday? come with that in mind.
the longer you are "on holiday" the more money you will need...if you stay in backpackers it's cheap and nasty if you stay in hotel it is very expensive (but nice!!!) see if you can get cheap rates in hotel with your flight may be?
when we first arrived we stayed with friends for a couple of weeks (not good to do but 'safe") got camping stuff and camped out!!! came to adelaide and was in a rent got a job in four weeks!!! from what i know lots of people end up spending all their savings... so if you haven't got it you can't spend it and you "have" to get a job!!! really any job is ok to start just get an income.....from my expereince and many i know....DON'T SPEND YOUR MONEY... and have a holiday here at first it will all seem much more fun!!!!

why

oooh bit more.. don't cash in your pension what ever you do!!!!!!!!!