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Renting out my house bought from the council

7 replies

Snowball4girlz · 14/05/2014 00:39

My friend is moving in with her boyfriend and wants to rent out her house. She bought it off the council last year and needs to make sure she is not breaking any rules. It's only breaking rules if you sublet a house that you rent for the council? If it's your own house and mortgaged surely what you do what you like it with.

OP posts:
TequilaMockingbirdy · 14/05/2014 00:40

As far as I know you need permission from the mortgage lender

pluCaChange · 14/05/2014 08:24

Well, surely the first thing to do is to read through all the contracts and materials associated with the sale. Or simply contact the council/ housing association. If there are restrictions, perhaps her boyfriend could move in with her instead.

specialsubject · 14/05/2014 11:44

unless there is a restriction in the sale documents, she is only subject to the normal restrictions: moving to a buy to let mortgage, getting the right insurance, deposit protection, gas safe, place fit to rent out, paying tax etc etc etc.

Snowball4girlz · 18/05/2014 23:13

Thank you for the replies.
I have passed on the information to my friend.
Much appreciated:)

OP posts:
AgentProvocateur · 18/05/2014 23:21

Am I the only one who thinks it's a bit off? Presumably she bought at a discount, having paid below-market rent prior to that. She's bought, so there's one less house available to people who are waiting on a list to be housed, and she'll no doubt be charging a higher rent than the council. If ages not wanting to live in it. She should sell it back to the council.

InMyOwnSickWayIllAlwaysBe · 18/05/2014 23:30

If you buy under the Right To Acquire or Right To Buy schemes, you do have to give them first refusal if you sell within the first 10 (?) years.
And if you sell within 5 (?) years they will want the discount back. Maybe some, maybe all. It may vary from council to council, but she will have been given all the info in her Right To Buy/Acquire pack.
I don't think mine said anything about renting the house out TBH, or I may have overlooked it as it was not applicable to me.

YeGodsAndLittleFishes · 18/05/2014 23:33

Check there isnt a covenant (spelling?) on the house. We had an ex council house which had a covenant stating we couldn't run a business from/at the house, which might include renting it out depending on interpretation.

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