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Moving aboad: selling or rent out?

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  • 11-10-2017 3:45pm
    #1
    vikkthor
    Closed Accounts Posts: 31 ✭


    I’m considering some job opportunities in mainland Europe (Luxemburg/Belgium) and I’m not sure what to do with the house I bought in 2012.
    Sell – I still have a mortgage of around 140K for 22 years and given the current market I could sell for around 450K and make some cash to buy somewhere else in a few years.
    Rent out – I could rent the house for at least €1800 and this will pay my mortgage (which will go up though) and other expenses.
    Since I don’t need to cash in now my idea was to to rent out the house and keep it as an additional source of income for rainy days/retirement/kids’ education but how hard the  but would the rental income tax would hit me as non-resident?
    Thanks


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    #2
    uck51js9zml2yt
    Closed Accounts Posts: 18,268 ✭✭✭✭uck51js9zml2yt


    Don't know about the tax side but keeping it would be better. What happens if work falls through and you've nothing to return to?


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    #3
    circular flexing
    Registered Users Posts: 2,587 ✭✭✭circular flexing


    If you do rent it out, I highly recommend engaging an agent. Managing a property from overseas is not for the faint of heart.


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    #4
    godtabh
    Moderators, Science, Health & Environment Moderators Posts: 23,218 Mod ✭✭✭✭godtabh


    Do not rent it out. Sell it. Invest in a low risk fund.


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    #5
    The Ging and I
    Registered Users Posts: 387 ✭✭The Ging and I


    Once you have secured a job - sell it ! Its not worth the hassle for the little money you will get.


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    #6
    Boater123
    Closed Accounts Posts: 312 ✭✭Boater123


    Check with a financial advisor first but IMO sell it.

    It is your principal residence and not subject to capital gains tax upon sale.

    AFAIK That goes out the window once the property is rented and if subject to CGT you can kiss goodbye to 33% of the difference between the price you bought and sold for.


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    #7
    Ms Doubtfire1
    Registered Users Posts: 1,422 ✭✭✭Ms Doubtfire1


    agree. sell it. You'll have lots going on in the new home. Rent is high in parts of Belgium (Brussels and Antwerp are pretty deer) and Luxembourg is very high.You're better off selling here and buy there.


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    #8
    the_syco
    Registered Users Posts: 37,301 ✭✭✭✭the_syco


    Sell or keep until you get a job, and then maybe come back to Ireland once or twice for the sale.

    Personally, I'd keep and sell. Keep it for maybe 6 months, and then use an agent to sell it. In the meantime, AirBnB it, purely to keep someone in it the minimum amount of time so (IMO) it's not list as "unoccupied" (IANAL) for insurance reasons?

    If you're thinking of renting it, read this; http://www.boards.ie/vbulletin/showthread.php?p=104921103
    It's fairly grim now for landlords, and I doubt it'll get better.


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    #9
    vikkthor
    Closed Accounts Posts: 31 ✭vikkthor


    thnaks all for the feedback. Yeah renting seems not to be a good idea even for an investment purpose :-(


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