Starting off as a landlord

gaudy

littleredspot,
im a landlord and am moving out of my house,i want to rent it to a friend who is on the social and want it through that.
so what do i need to do/get for this to happen?
what forms?b.e.r certs ect ect?
thanks in advance!

The Good Agent

Some things you'll need to think about are:

• BER cert (thousands of suppliers out there, but we find www.nea.ie to be good)
• Minimum housing standards (http://www.citizensinformation.ie/en/housing/renting_a_home/repairs_maintenance_and_minimum_physical_standards.html)
• PRTB registration (€90 and can be done here: https://online.prtb.ie)
• A lease (your solicitor can draw one up for you or we can give you one, let me know if you need this)
• Tax implications (this thread might help: http://www.boards.ie/vbulletin/showthread.php?p=54024922)

Good luck,
Barry

gaudy

barry thats great.thanks
but
1.is it just the tenent looking for a BER cert and the Minimum housing standards and not the social welfare officer?
2.i know i need to reg with the PRTB
3.the lease is to cover both of us but will the social welfare officer demand to see the in's and out of it?
I'm a bit green at this and have had to rent and move abroad due to lack of work so money is a problem with all the above i suppose!

thanks again!

The Good Agent

Hi gaudy,

You can just think of the Rent Allowance as a tenant's income, i.e., that's where they are getting the money to pay the rent. It doesn't, as far as I am aware, affect the tenancy from a legal stand point. Everything that applies to a non-RA tenancy applies to a RA tenancy.

BER cert and housing standards are legal requirements for all rented properties. Having said this, a landlord who doesn't comply is unlikely to be found out unless the tenant takes issue.

One thing you might look at is having the rent allowance transferred directly into your account (rather than the tenant's account), but this is something you can discuss with the tenant.

In summary, to your question (which I am para-phrasing): Do I need to do anything special or fill out any forms to accept rent allowance? The answer is No.

Kind regards,
Barry

gaudy

barry thank you so much.
after getting pawned off to different people its finally nice to get someone who knows what their talking about.
very happy,thanks again

the_syco

gaudy wrote: »

i want to rent it to a friend who is on the social and want it through that.

Don't forget to get a deposit, as the "friendship" may go sour if he "misses" some rent payments.

odds_on

IMHO, Family and friends are the worst people to rent to (or employ) as too often they try to take advantage of the relationship.

However, you also need to know your legal obligations and your tenant's obligations as set out in the Residential Tenancies Act 2004. I think there is a downloadable copy on the PRTB site, if not just google it. Read the whole Act and inwardly digest it - it is very important and covers many aspects of renting, what you can do and cannot do.

keredern

gaudy wrote: »

barry thats great.thanks
but
1.is it just the tenent looking for a BER cert and the Minimum housing standards and not the social welfare officer?
2.i know i need to reg with the PRTB
3.the lease is to cover both of us but will the social welfare officer demand to see the in's and out of it?
I'm a bit green at this and have had to rent and move abroad due to lack of work so money is a problem with all the above i suppose!

thanks again!

From a Community Welfare point of view you will likely be asked for the following;

Proof of ownership (letter from mortgage provider, solicitor, copy of deeds, management fees invoice, etc.)

Your PPSN

SWA3 (provided by CWO to claimant) Landlord section completed by you

You may be asked for evidence that you have registered/are in the process of registering the tenancy with the PRTB

An original signed lease will have to be submitted by the claimant

The CWO will not need to see a BER cert.

Make sure that the rent being charged is within the cap for the family size of the tenant & the area the house is in, otherwise the rent supplement application will likely be delayed or even refused.

If your tenant is returning to Ireland after a substantial absence or is a foreign national with less than 52 consecutive PAYE contributions (EU national) or without a valid stamp 4 or legal right to reside, there may be issues around their habitual residence status.

I would definitely treat this process as if you were doing it with a stranger...do not think a friendship will sustain you both through any issues arising down the road!!:eek:

As for having the rent supplement paid directly to your bank account, only your tenant can request this as it is his/her claim, not yours!

Best of luck.

Spiritofthekop

Also on top of all of the above...

Lay down the rules about rental payment in the "nicest" way possible early doors.

Do not show any weakness otherwise you could get stuck with some right chancers.

I have plenty of friends who have had more situtations with tenants not paying rent than you would care to believe. Horrible stories.

Dymo

Don't forget the €200 payment to the council as it's not your principle house.

The Local Government (Charges) Act 2009 introduces a €200 annual charge on Non-Principal Private Residences (NPPRs), payable by the owners of NPPRs to the Local Authority in whose area the property is located.

SerialComplaint

odds_on wrote: »

IMHO, Family and friends are the worst people to rent to (or employ) as too often they try to take advantage of the relationship.
.

This is a big issue.

Also, make sure you understand your tax obligations. Rental income is taxable, though you can write off expenses, including 75% of your mortgage interest.

Dymo

Dymo wrote: »

Don't forget the €200 payment to the council as it's not your principle house.

Does this have to be paid if the OP owns no other property?