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IVADougie
Starting Member
United Kingdom
15 Posts |
 Posted - 12 April 2011 : 17:35:55
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If I rent my current property out and use the money to rent alsewhere (as I need to move) I assumed this would be ok in BR?
However I have been advised that any rent received from the current property would be taken by the OR. Is that right? I can't see the logic behind that as it is surely just income and the new rent is added expenditure, the 2 balance each other out surely? |
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debtinfo
forum expert
2826 Posts |
Posted - 12 April 2011 : 18:16:35
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| it is correct, the key thing here is that the rental income is the OR's income whereas the expense is your expense so they dont cancel each other out |
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Bigal4787
forum expert
United Kingdom
641 Posts |
Posted - 13 April 2011 : 15:37:46
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Hi,
the other thing to consider is that if you get your property rented out, then move into rented acommodation yourself, then the property will be classed as a tenanted property,and the OR will seek to appoint their own agent to manage the property and collect the rent,plus as a tenanted property it won't revest to you after 3 years.
The reason for this is basically to get the lender to deal with the property sooner rather than later, but there again I had cases where the OR was collecting rent for nearly 2 years.
Big Al
Insolvency examiner with the Insolvency service from April 2008 - July 2010.
If you need help completing SOA's(statement of affairs) or PIQ's(preliminary information questionnaire) if you've been declared bankrupt, or anything else and you're within 30 miles or so of Warrington, then please contact me via my contact details in the expert page for futher details"
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Housing
Senior Member
United Kingdom
1399 Posts |
Posted - 13 April 2011 : 20:57:01
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Hi
Whilst I accept what Big Al and debtinfo have said, there are exceptions...
It is possible to retain your rental on a Buy to Let property. Equally, it is possible to keep a BTL property in BR and to purchase the BI
I am living proof of this in my BR a couple of years ago
Good luck, Richard
"There are no problems - only solutions" |
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debtinfo
forum expert
2826 Posts |
Posted - 13 April 2011 : 21:53:26
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| although the restrictions have recently got a lot tougher in mid 2010 |
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Housing
Senior Member
United Kingdom
1399 Posts |
Posted - 14 April 2011 : 13:48:40
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Yes, I agree - I think I was "unique" and was able to challenge and assert when necessary!!
Richard
quote:
Originally posted by debtinfo
although the restrictions have recently got a lot tougher in mid 2010
"There are no problems - only solutions" |
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Topic |
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Rental income
