Moving abroad renting my home

Yes, you'd need to notify your mortgage provider, as the loan was likely issued for an owner-occupied property. You can expect your interest rate to rise to the current buy-to-let rates. It's also possible your lender might refuse permission entirely if your loan-to-value ratio isn't low enough yet.

Revenue have all the details on tax for rental income on their site. Note that unless you have an Irish agent managing the property and collecting rent on your behalf, your tenant must withhold 20% of their rent payment and remit it to Revenue on your behalf.

Don't do it. So many posts on here from people who did exactly as you plan to, either not getting houses back or getting trashed houses back. It will break your heart in so many ways. Try to find an alternative.

If SF get into power while you are away, you can kiss your house bye bye. They plan major changes to tenancy rights. I'd check that out.

However, if you absolutely NEED to rent the property out, I would only consider a let to an employee of a large well respected employer. It is still a risk, but you can make life difficult for the employee via his/her employer if they act the maggot. Maybe!

This is no country for private landlords anymore.

As for taxes, you fill up a form 11 online. You must project your profit and pay preliminary tax + actual tax for the first return (I think...). Rent, less expenses and depreciation = profit. That is then added to your other income and taxed accordingly. It is difficult to say if the rental income will be taxed in isolation, as that depends on whether or not you will be considered to be Ordinarily Resident in the State during the period of rental.

If you decide to go ahead, pay an accountant to do your taxes. You will be glad you did.

I rent mine and live abroad and I have begun the selling process. It is a pain and it is very difficult to see your forever home not being taken care of, as is the way with many rentals.

Secondly, a base when you do come home is worth more than rental, unless you really need the mortgage covered for you. I just did 6 weeks in Ireland and it was a pain living out our respective parents homes, borrowing their cars and basically living out of a suitcase.

If you are moving abroad for 2 years, I'm assuming you are on a contract and corresponding package. None of us move abroad lightly and I'd hazard a guess the money is better and your living quarters abroad are likely covered, hence the willingness to move. So if you can afford to leave the place empty or have a relative housesit, I'd go down that route. It's what I should have done in hindsight.

Definitely rent out to corporates only. A large apartment complex opened recently opposite my house and it's purely catering for corporate users. They seem a very respectable lot... in fact it looks a lot like a hotel with the new faces coming to move in every few weeks.

I'm in a similar situation whereby I'm considering moving abroad and was considering private rental, but after observing the type of residents in the place opposite, I would be off to Google in a jiffy to give them my place.

You cannot claim rent-a-room relief.

But you can rent individual rooms, and keep one unrented for your own use when you come back on holiday.

Regarding tax liability, you also need to get tax,advice from the country where you are living: you may be liable for tax on the in ome there, too.

Only rent it out of you can get by without ever living in it again.

Tenancies are 6 years now and SF will make those permanent and remove any clauses to allow the owner move back in.

After all, it's the landlords job to house the destitute.

personally - I wouldn't rent it out, too much hassle...and you would have to be sure to serve the correct notice with all the correct statutory declarations on the tenant within the correct timeframe giving them the correct notice period in order to get your house back for your own personal use when you return.

If the tenant isn't happy with that they could well query it with the RTB which could end up in at least 10 months of a wait until the RTB's adjudication & appeal process is complete.

but you asked about you tax liability, here are the page(s) on it on revenue.ie

Yes you are supposed to notify your mortgage provider, they will switch you to a buy to rent rate which is in or around 4-5% at the moment.

You will also need to change your insurance to reflect that the house is rented & register with the RTB

I believe though you can claim tax relief on the mortgage interest paid during the tenancy term & also insurance, RTB Reg and other maintenance costs/ repairs. I am assuming that even though you are going abroad to work you will still be registered as resident in Ireland for tax purposes????

Can I ask what alternatives are there out there? Going to be entering a similiar situation and would love some advice?

I was considering doing the same, i have researched for 3 years trying to make this work.. Its the Banana republic.. Forget it.. Some good advice on here and some bad.. Some people on here are idiots & havant a clue what they're talking about.. ..beware !

Insurance companies won't insure air b&b or the like anymore..rent a room you have to be living in the house for the greater part of the year..so over 164 days... I don't think that's covered either my insurance companies...

In the 3 years of researching countless number of people including landlords & solicitors legal have advised against renting out my house..

You can rent for 10 years to DDC (has to be 10 years) you get 80% of the rent.. but you still have costs and insurance and that's based on they're take on the rental market value of the property.. Are you in a rent pressure zone ?

As i said we're living in the Banana Republic ! Looks like il Have to sell.... Good luck!

I don't think the advice re switching the mortgage is necessarily correct, it isn't really a buy to let because you are intending to move back, it's your only home so you are not more likely to default on it to justify a higher rate.

But the advice re not renting out if you need it back is good, corporate letting definitely the way to go.

Another example where our politicians are driving units from the market and making things worse with their policies.