This article resolves the doubts that many users have before the possibility of carrying out a rerenting of homes,if it is a legal or illegal practice, as well as the steps that a user must take to formalize a sub-lease contract.
The rerenting of homes is increasingly a common practice. It occurs more frequently in large cities, where rental prices are increasingly higher and where many users, due to their economic situation, are forced to share a flat.
This reality has two faces according to specialized advisors:
1 – It is the only way that many people have to be able to have a place to live.
The real estate market, specifically the rental of homes, offers a limited offer at truly exorbitant prices, which means that many users are forced to rerent their home.
Young people are forced to rerent rooms with the aim of sharing expenses. A widespread practice also among immigrants. Both the sublesse and the tenant share expenses and rental price, which makes it more bearable.
2 – The speculator tenant, who is engaged in renting homes to rerent rooms to other people, gets a higher amount of money.
In this way, this person can get to live for free, but it can bring serious problems with the owner of the house.
Is it illegal to rerent a home?
By law, the sublease of housing can be done, as long as a series of legal requirements are met in the event that third parties outside the rental contract are introduced into the apartment.
Aspects to Take into Account When Renting a Home
- One of the most important aspects of this practice is that sublease is totally prohibited as long as it is specified in the contract.
- As long as the homeowner gives his written consent,the legislation allows it to be sublet.
- In 98% of cases, owners prohibit this practice,according to experts in the field.
- The owners fear that with this practice the house suffers damages derived from problems in the coexistence of the tenants and that they do not take care of said damages because they are not within the contract.
What Happens If the Rental Agreement Does Not Indicate Anything About the Sublease of the Housing?
A series of steps must be met to make the sublease of the house legal.
If it happens that the rental contract does not specify anything about whether or not the house can be sublet, it is assumed that it can be done, with the condition that it is communicated to the owner in advance in a reliable way and in writing.
For legal purposes, the owner has to express his consent in writing,avoiding a verbal consent that will not be valid at all.
This sublease has to be reflected in a new sublease contract in which it is specified that a rental can be carried out to a third person for all or part of the total of the dwelling.
This new contract has to carry the same elements that correspond to the lease. It has to be clear the area of the house that is subleased, the price and the name of the tenant.
Tax Implications of Illegally Subletting a Home
Illegally re-renting the habitual residence carries a series of tax implications.
If the tenant decides to illegally rerent the dwelling in which he lives without prior authorization from the owner of the same, he can terminate the lease.
The consequences derived from this fact are not eliminated when the contract is terminated, because contracts for rental housing cannot be eliminated retroactively.
Consequences of Subleating Housing Illegally
1 – As for the owner, the VAT corresponding to the rentmay be demanded, since this may not be considered as a rental home.
In addition, the deduction of housing rental can be reduced by 60% in relation to the positive net return that corresponds to the real estate capital.
2 . If the tenant decides to rerent your habitual residence illegally,he will suffer the following consequences:
- A possible termination of the rental agreement.
- The possibility for the owner to demand the payment of VAT corresponding to the amount collected by the subletting.
- The difference in income including the income obtained.
- A possible claim for damages,if they have occurred.
By way of summary, the sublease of homes can be done legally as long as it is communicated in writing to the owner of the house in a reliable way. This, in turn, must communicate in writing your consent and generate a new rental contract.