starting a letting company

[loobylouuk]

Hi
I have 8 btl properties that i let to the council. The rent they pay me covers my costs....just! however all the properties are mortgaged and will be up for renewal in the next 5 months. Due to the big increase in the cost of the mortgages i will have to give notice to the council and let the properties myself to cover costs and i am unsure the best way to do this.

My question is: is it better to rent the properties myself or is it better tax wise to start my own letting company and pay myself a monthly fee? i would only manage my own houses.
Any advise is greatly appreciated.
Lou

[Steve Sims]

Don't bother if you're just starting a company to let your own properties. You'll waste time and money.

The only reason for starting a property management company is to manage other people's properties, not your own.

[DreamLifestyle]

Rent the properties yourself, as you would waste money setting up the company. It would be slightly better for tax purposes though depending on the income.