2 posts • joined Thursday 14th July 2011 07:24 GMT
Re: What's to stop you renting out your owned house and renting another in a different area?
We did this a couple of years ago, and it's a good plan if you're moving to a different area and don't want to wait to sell. One problem is that you have to pay tax on your rental income, so the amount left over may not cover the rent that you need to pay (though you can offset your mortgage against the rent). The other problem is that any landlord has to budget for times when the property is empty, so if your tenants move out you may find you don't have any rental income for a couple of months, which is a pain if you need that to pay the rent on where you're living.