DS plans to leave his central London flat totally empty for a year

I think I'd ask him if I could live there while he was away, then let out my own house and make a bit of loot and go away for a long holiday on my rental proceeds! His flat would be safe in the hands of his mother (that's right isn't it?). Depends on whether London is feasible for you though.

But it's a thought.

Not really. It’s not like he’s hoarding it. It could take months to sell and how much would the rent be on a million pound flat? As a renter, it’s not the top end of the market that people struggle to find homes in.

Are you the one who hasnt seen your son for a year or more due to his travelling?

that’s why most 24 year olds shouldn’t just be given over 1 million unregulated.

You sound quite bitter. Do you think that might have any bearing on the strained relationship?

He's bought property which seems fairly sensible to me. He doesn't want to rent it out. I don't blame him, I wouldn't either, and a pp has made good points about what if he comes back sooner for whatever reason.

All I'd advise is to make sure it's properly insured, someone checks on it, and the surrounding properties have contact details of someone in the case of an emergency.

We have a second home that is empty for most of the winter. It's a condition of our buildings insurance that someone visits it at least every 30 days to check for structural damage and leaks. Luckily w heave family and friends nearby who are able to check in and take a couple of dated stamped photos to prove they were there.

This is even more important in a flat. The flat below my DSs was empty because the owner had emigrates and the selling agents were meant to check on it every month. There was a period of several months when there were no viewers so the EA didn't bother visiting. When they eventually escorted a viewer there it was discovered that an undetected slow leak from DS's kitchen overhead had bought down the ceilings in two rooms and the place was saturated and mouldy.

winner winner for DS. His whole kitchen including appliances, the floor and all the cupboards had to be torn out in order to track down and fix the problem so he got a brand new kitchen for the price of his excess. However because the property below hadn't been inspected their insurance was invalidated. They had to pursue the EAs for the very expensive costs of repair.

I agree with this

As, indeed, are tenants

An extra factor he needs to consider is UK tax on foreign income for UK residents. HMRC have very specific criteria for what counts as non-resident for citizens who are ‘ordinarily resident’. For example, if his 1 year working as a digital nomad is equally split across 2 UK tax years, he will most likely be liable to pay UK income tax on his foreign income earned. Especially as his UK property ownership and family ties is evidence of his ties to the UK. He needs to understand his tax implications so he doesn’t have a nasty shock at a later date and/or takes this into account with his travel dates (so be overseas for a full UK tax year rather than crossing over 2 years).

https://www.gov.uk/tax-foreign-income/residence

I’ve lived and worked overseas (and provided evidence to HMRC before I left the UK of my overseas employment contract, rental agreement, overseas tax ID etc) and still got hit by them when I returned to the UK 3 years later. They were completely wrong and I’d ticked all the correct boxes before leaving the UK and while I was living overseas but I still had to go through HMRC’s laborious appeals process to get the fines overturned as well as get them to agree I was non-resident and not liable for 3 years of income tax. It was a huge headache and quite stressful at the time.

Edit: And I left my central London flat empty as I needed a home to return to if things went pear-shaped (work contract was initially only 1 day’s notice needed to be given by my employer). But I had close family using my flat for London visits as well as an onsite estate manager with spare keys and neighbours who knew how to reach me 24/7. And it was in a secure gated development that is quite difficult to access (even when you know how!)

It won't be counted as a second home for insurance, they don't have a primary residence other than that property.

It's not easy to get unoccupied property insurance, which is what he'll need. Many insurers will ask that the property is checked weekly and a register of those visits is maintained - OP your son needs to be fully aware of the pitfalls of his plan.

You still need to pay council tax on an empty property, as well as the standing charges to keep the utilities going. He‘d need to factor in these not insignificant costs - aside from the security aspects.

The housing crisis is not his problem. No doubt he’s aware of it, but I’m not sure how being aware of it means that he’s obliged to rent his flat out.

Even with a decent letting agent a landlord needs to be prepared to accept the risks (and costs) associated with renting out a property and he isn’t. So that’s that.

Why? Because one man who owns one flat is taking the opportunity to see a bit of the world and doesn’t want Mr & Mrs Anybody living in his house! Get in the bin!

I mean a one-bed in zone 1 would easily 24k in 12 months before tax, but if he can afford to say no to that, ok. Personally I'd get a letting agency and just pay them to do the landlording

Also the tax!! It’s more than you’d think

Have found renting out to be very costly. Had to fix up bathroom, kitchen, redecorate, have the garden done up a bit. Then they damaged certain things, bit of general low level damage you’d expect, then estate agent fees and storage for my furniture. Occasionally having to arrange call outs with plumber / electrician because they’d blocked or blown something. I’m not sure I’d recommend renting out short term.
Perhaps to a good friend or relative on a trust basis, expecting no damage or maintenance issues. But not a stranger, it’s not worth it.

I am with your son. I would hate someone living in my home. He needs special insurance, though, and someone to keep checking in on it.

He’ll need empty house insurance….. it was a pain to find when my parents house was empty after my dad passed away and it also cost the earth!!

I did my late mum's tax return on her death. She made almost no profit at all on the years rent. And this was an unmortgaged property. The repairs (including a new bathroom) and the tax payable, left her breaking even.
The rent that I've received in the last ten months is massively outweighed by what I've had/am having to spend on house and garden clearance, locks changing, and redecorating. They've also trashed the kitchen units, but the estate agent has said to leave that as new owners will want to put one in. But if I was renting it again, I'd have to pay for that too m

Renting is more than just taking the rent money. If something breaks or stops working, he will have the ball ache of trying to get a tradesman round to sort it, having to liaise backwards and forwards with them and the tenant as to what time and day is convenient, he won't be there to make sure it's been done properly. I had a tenant mix cement on the carpet in order to put up a shelf! It's not the easy money people think it is.

When we travelled our house needed to be checked at least once a month for insurance. Maybe you could offer as a way to build bridges?

I think he’s being sensible not renting it out. As a PP has said, it means he can come back, either for visits or if the whole Digital Nomad thing doesn’t work out.

And no tenants to worry about.

Why don’t you offer to visit regularly and act as ‘caretaker’? If it’s in such a great location, that surely won’t be a hardship. And it might help you to rebuild your relationship if you were supportive of his choices, rather than critical.

I'm inclined to agree with him. I'd recommend he gets an empty property management company on board though - its not too expensive probably c350 pcm. Should make it better with the insurers too.

Ha! A 'decent' letting agent didn't prevent my property being trashed, the garden being a rubbish dump, and the tenants refusing to go.

An agent basically finds a tenant and manages the rent. They are unable to ensure that the tenant looks after the place and leaves when told.

Real shame to leave it empty

I don't think the housing crisis has been caused by people taking extended holidays abroad. The young man owns ONE flat. It is his home. There is no difference in principle between going away for a fortnight and going away for a year.