Hi there
Just wanted some advice. Is there any restraints on renting out a house that we bought 3 years ago? We're on a fixed rate mortgage, tied in for 5 years.
TIA
Ruth
Is this your primary private residence? If you decide to sell in the future you will be liable for CGT but you may get some credit for the time you lived there. If it is a second property I don't see a problem as long as you keep the mortgage up to date but you should check your mortgage documents to see if there are any clauses that prevents renting it out.
There is no CGT on a home. There is CGT on a rental property.
If the property is your home for 3 years and then rented for say 6 years, then 4 years are CGT free (the 3 years you lived there plus one extra deemed year) so you pay CGT on 5/9 the of the gain.