# Renting houses out back home in UK



## hopers7 (Mar 31, 2012)

Hi all, 

Has anyone else rented their UK home when moving to NZ? If so what have you done about tax....do you self assess or have you let your agent sort it out?

Thank you!


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## topcat83 (Apr 16, 2009)

hopers7 said:


> Hi all,
> 
> Has anyone else rented their UK home when moving to NZ? If so what have you done about tax....do you self assess or have you let your agent sort it out?
> 
> Thank you!


Hi there
Unfortunately you do need to fill out a tax form if you own property in the UK. But there is a reciprocal tax agreement with NZ so we fill in our own UK tax form for them, but give everything else to our accountant in NZ. 

From choice, I wouldn't keep the property in the UK beyond the first 5 years you're here - but because the property prices have been so abysmal we haven't been able to sell ours and come out of the deal without a loss. At least with the low interest rates we are breaking even on the mortgage. So stay they must (for now)


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## hopers7 (Mar 31, 2012)

topcat83 said:


> Hi there
> Unfortunately you do need to fill out a tax form if you own property in the UK. But there is a reciprocal tax agreement with NZ so we fill in our own UK tax form for them, but give everything else to our accountant in NZ.
> 
> From choice, I wouldn't keep the property in the UK beyond the first 5 years you're here - but because the property prices have been so abysmal we haven't been able to sell ours and come out of the deal without a loss. At least with the low interest rates we are breaking even on the mortgage. So stay they must (for now)


Hi Topcat,

We have 2 houses, one we currently live in - which we'll be renting out when we go and the other is already rented...so is the tax form the same as the self assessment one we already complete each year here that would when we are in NZ get submitted to the UK? Do you still get your tax free allowance taken off? Do you have to declare any income from it in NZ - though across the two we will be making a bit of a loss!

We are hoping to keep both ours, like you said we the prices at the moment..not great to sell, though we haven't had them that long, 7 and nearly 3 years so looking at the as an investment and pension for future....on one we break even - the other will cost us a bit but have budgeted that in and it's affordable....just keep having to think of the bigger picture and the long term gain!

Thanks for the info!


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