Property Taxation Problems + New (Reluctant) Landlord Issues

I

Insomniac

Guest
Hi - just wondering if anyone can advise me on this - its keeping me awake at night - thoughts of bankruptcy, jail etc..


Bought a house as a first time buyer (100 % mortgage - now in negative equity) in 2005 and lived in it for 2 years until Oct 2007. Rented a room out to friends and was paid in cash. I didn't pay stamp duty as it was a new house. Looking it up now stamp duty on investment properties was 6% at the time.

In October 2007 moved to Australia - initially travelling for 6 weeks but then got a job and stayed for nearly 2 years on and off - just back these last few weeks to do a diploma course in the UK for 3 months.

The trip to Australia was always supposed to be temporary but now I've been offered a two year contract over there.


My problems are the following:

Initially when I left my friend stayed in the house and got friends of hers to move in - they paid rent and bills into my account and the bills all stayed in my name. It just seemed to suit everyone all around at the time as none of them were keen to have a lease and bills in their name. Unfortunately I didn't think about rent books etc.

My friend left after a year and there have been various people move in and out for a few months under the same arrangement - being in Oz there wasn't much I could do about it at the time.

Now that it seems that my move abroad is going to be more permanent (and I'm a few years older and wiser) I see that I've sleepwalked myself into a terrible mess.

I am not registered with the PTRB - does anyone have any suggestions about how i go about this given that the tenants are already in situ?

Any suggestions about how I draw up a lease and get the bills transferred out of my name?

Or am I better to leave everything as it is and keep my head in the sand??

Also Stamp Duty is the main reason i'm clutching for the temazepam - before interest it will work out at about 20000 euro ( on a 323000 eurp property)

Thats exactly what my take home pay for the year will be after converting australian dollars to euro!

Is there any way I can just register as a landlord now by saying that the house was my principal residence up to this and that the new period of letting it out starts now??

Should I try and deal with revenue etc myself or should I get an accountant?
Got quoted 800euro on the phone - money I dont have as I am currently in full time education.


Help!!!

Realy appreciate any advice people have / similar experiences ( if anyone was as silly as me!)

Insomniac
 
Hi Insomniac,
I was in more or less the same situation as you and had my house which i lived in at the time rented to friends on and off, but recently i have moved permanently to OZ so i got a letting agent in to look after it for me who transferred all bills etc to tenants and i am now registered with PRTB and will be due tax return next year so i recommend getting an agent and although you will pay a fee you will have peace of mind and also it should be posible to start fresh you can get agent to also hold any tax due so you need not worry so much good luck.
 
Back
Top