Buying a house to leave empty as an investment.
- Thread starter Stivino
- Start date
Sponsored Links
- Joined
- 28 Apr 2004
- Messages
- 7,851
- Reaction score
- 746
- Country
I ride past one regularly, a converted chapel, fairly high end, (I did some work there years ago) and know the people opposite, it was sold a few years ago and has been empty ever since, occasional visit from owners
- Joined
- 31 May 2016
- Messages
- 17,418
- Reaction score
- 2,644
- Country
I believe most councils are now increasing the council tax you pay if you leave a property empty for 2 years or more.
It still needs to be maintained and heated. So you may as well rent it out. If you can't get it up to the standard for an AST under the housing act, you can always look at airbnb option.
If you make it available 180 days a year (from memory), you can gain exemption from council tax completely and opt for business rates instead - you will likely be zero rated.
It still needs to be maintained and heated. So you may as well rent it out. If you can't get it up to the standard for an AST under the housing act, you can always look at airbnb option.
If you make it available 180 days a year (from memory), you can gain exemption from council tax completely and opt for business rates instead - you will likely be zero rated.
council tax payable straight away and at full rate if second home .
Might be different up the road stivino.
Why would you not want to get thousands each year in rent as well as the POSSIBLE increase in value house prices dropping at present .
Airbnb route is quite lucrative mate has changed around half a dozen of his HMO to them far less hassle and direct payments from companies renting them usually for 4 days a week then he has weekend lets in them as well . And yeah he says additional tax benefits
Might be different up the road stivino.
Why would you not want to get thousands each year in rent as well as the POSSIBLE increase in value house prices dropping at present .
Airbnb route is quite lucrative mate has changed around half a dozen of his HMO to them far less hassle and direct payments from companies renting them usually for 4 days a week then he has weekend lets in them as well . And yeah he says additional tax benefits
Sponsored Links
I'm not interested in renting, AirB&B, or anything else.
I was thinking along the lines of a new build flat more that a stand alone house.
They have built some new flats near to where I live so, it would be possible to look in occasionally.
I was wondering about the viability as an investment, like an ISA in bricks and mortar.
I was thinking along the lines of a new build flat more that a stand alone house.
They have built some new flats near to where I live so, it would be possible to look in occasionally.
I was wondering about the viability as an investment, like an ISA in bricks and mortar.
personally at present would not be buying anywhere like that as a standing investment not with the crash in prices they are talking about . A flat you will also have service charges that can be increased every year without consultation and go up considerably and also a certain value of repairs can be charged without permission and dont forget your interest on the initial loan.
I can't see an empty flat being good use as an investment.
You will tie money up for an undetermined period, and then yes hopefully sell later at a profit.
But would that profit be more than you get for renting and then selling for the same amount, or just flipping the flat, getting the profit today and then reinvesting that in another property and so forth?
Whilst property is almost always a good investment, if investment is the aim, then there are other things to consider.
You will tie money up for an undetermined period, and then yes hopefully sell later at a profit.
But would that profit be more than you get for renting and then selling for the same amount, or just flipping the flat, getting the profit today and then reinvesting that in another property and so forth?
Whilst property is almost always a good investment, if investment is the aim, then there are other things to consider.
I wouldn't be taking a loan.
I have some money lying around doing nothing, banks etc are as much good as a concrete parachute. So, I was thinking along the lines of an empty flat.
It's just food for thought for now.
- Joined
- 31 May 2016
- Messages
- 17,418
- Reaction score
- 2,644
- Country
An ETF is less risk.
New builds are usually over priced
flats have maintenance and ground rent
leases often have sublet fees
house prices aren't likely to go up in the next few years by as much.
A leasehold leaves you owning a rental agreement.
They comply with all the relevant standards so are perfect for rentals
Why not find a doer upper house?
New builds are usually over priced
flats have maintenance and ground rent
leases often have sublet fees
house prices aren't likely to go up in the next few years by as much.
A leasehold leaves you owning a rental agreement.
They comply with all the relevant standards so are perfect for rentals
Why not find a doer upper house?
Because I'm in Tenerife. That's why I was thinking along the lines I mentioned.
D
Deleted member 174758
There is also the risk of squatters and metal thieves to consider, even if you are insured, as well as the potential damage (at least in my patch) of degradation caused by damp (but then I do live in a wet, windy part of the world)
A guy was talking on the Politics Show today, they were discussing housing. The subject of BTLs cropped up. His suggestion was smaller LLs (with 1-3 properties) should be encouraged to leave the sector and given reasonable exit values for their properties. The properties should then be sold for people to buy and live in, or bought by larger LLs e.g. HAs etc. He said we need to get away from the current model of BTLs being looked on as a temp type of accommodation for people, focusing on much longer rental periods for tenants.
We're kind of adopting some of that here in Scotland e.g. move away from 6 month SATs.
On topic, buying properties to leave them empty would NOT go down well up here with Harvie et al.
We're kind of adopting some of that here in Scotland e.g. move away from 6 month SATs.
On topic, buying properties to leave them empty would NOT go down well up here with Harvie et al.
Last edited:
Who he, she, they, them, it?
- Joined
- 31 May 2016
- Messages
- 17,418
- Reaction score
- 2,644
- Country
Very nice of him to squeeze the little guy out who is using BTL to subsidise a pension.
Sponsored Links
