Registering company at the rented out apartment

markons Active member

63POSTS

5 years ago

Hello all,
Anyone have any knowledge or idea if the following is possible, legal and if there are any taxes or additional payments needed?

Situation:
I am renting out an apartment in BP to a tenant.
He is registered at that address.

He now wants to start a company and to make my apartment the headquarters of his new company.

I wonder if it is legal for the same apartment to be both rented out to someone for living and to be the seat of his company?

In addition, myself and my mother are also registered at the same address, allowing us to have a lakcimkartya.
I am the owner, my mother has usufruct right on the apartment.
Are there any implications on our status as far as the Immigration office would be concerned?

Any other thing I should know? Like, is it necessary to ask the building supervisor's consent... Anything else?

Thank you in advance,
Marko

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Marilyn Tassy ViP

7215POSTS

5 years ago

Hmmm, personally I wouldn't like having them put down my apt. as their business.
I don't know the laws here but it seems like troulbe is a brewing in the future.
Maybe you and you mom will be included in any sort of business misdeeds or lack or paying taxes ?
They should rent another place for their business or buy their own flat.
Having their name on your property in any way shape of form could be a nightmare .
Most landlords are not even as kind to even allow anyone to be included as living in the flat. In some cases it could be difficult to evict them if they are regestered as living in a property.
They could possibly make a claim towards ownership of the flat.
Seems like a thing for a lawyer to handle and why get involved with a tenant with something so聽 complicated?
I'd not sign a thing if I were you. The deal was to rent out your flat not get so personally involved聽 in whatever they have going on.

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markons Active member

63POSTS

5 years ago

Thank you cdw and Marilyn,
I'm waiting to hear what the lawyer has to say, but having other people's thoughts is really valuable to me.
Btw, I registered the tenant at my address so he could get free parking in VIII. district, and he signed the consent to evacuate in case of contract termination, certified by the notary public. Hopefully that's good enough if the need arises.
Thank you.
Marko

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Marilyn Tassy ViP

7215POSTS

5 years ago

From what I know a notary here has alot of legal power so that's good that they witnessed your contract.
I hope you are not the one paying for the lawyer...
Then again it might be good to have them on your side.
I know there are many double standards legally here so be careful.
My husband is HU and he is afraid of renting to anyone becuase of old nightmare stories we have heard of.
My ex HU DIL's mother was a real wheeler dealer tricky person and even she got run over by one of her tentants in the 8th.
She couldn't get them to move out no matter what. Finally they moved and left her a huge phone bill. She was just happy they moved even if she was stuck with the bill.
My HU niece owns a flat in the 5th that she rents out. She can't even get a parking permit for herself because she is not registered as actually living in the flat. Not the smartest of moves on her part.
Just be careful becuase they may be impossible to get rid of if they also have a business at your address.
PS, I'd raise the rent if it is also going to be a business as well...
One more thing, make sure it is even possible with your house rules. The neighbors may have something to say about this.

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markons Active member

63POSTS

5 years ago

Thank you Marilyn for valuable input.
I am pretty sure already I'm going to refuse this for all reasons mentioned and I was inclined to think the same.
I would certainly also ask the building super, though I know for a fact that another guy has a company registered in the same building in his apartment.
I've heard all sorts of horror stories about tenants.
Mine's been rather good for almost 3 years now.

About the bills - I'm controlling all of them.
The bills come via Dijnet to my inbox, I pay them (making sure they are indeed payed each month), and I send the total amount for the rent and bills to the tenant, which he then pays.
It has worked perfectly so far, there are no surprises and even if he would stop paying, he had initially payed 2 monthly rents in advance, so should cover unforeseen expenses to a point.
Hopefully it will all be fine in years to come, but he will have to look for another place for his company it seems.

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fluffy2560 Hungary Expert

14959POSTS

5 years ago

markons wrote:
Thank you Marilyn for valuable input.
I am pretty sure already I'm going to refuse this for all reasons mentioned and I was inclined to think the same.
I would certainly also ask the building super, though I know for a fact that another guy has a company registered in the same building in his apartment.
I've heard all sorts of horror stories about tenants.
Mine's been rather good for almost 3 years now.

About the bills - I'm controlling all of them.
The bills come via Dijnet to my inbox, I pay them (making sure they are indeed payed each month), and I send the total amount for the rent and bills to the tenant, which he then pays.
It has worked perfectly so far, there are no surprises and even if he would stop paying, he had initially paid 2 monthly rents in advance, so should cover unforeseen expenses to a point.
Hopefully it will all be fine in years to come, but he will have to look for another place for his company it seems.

Not sure about here in HU but in the UK, it's just an address to serve papers but actually business can take place somewhere else.聽 Usually you use either your address, the lawyer or the accountants places as the registered office.聽聽Why doesn't he just register the company there?聽 That would be where the books are nominally kept and he's paying them anyway.聽聽

Marilyn is right - house rules might apply or some other zoning issue.聽 In the old days, it wasn't unusual to find businesses operating out of apartments.聽 Bit of a free for all.聽聽Not sure that goes on now.

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Marilyn Tassy ViP

7215POSTS

5 years ago

Also with having your proeprty being their place of residence and their place of business it might get tricky to get rid of them when the time comes.

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markons Active member

63POSTS

5 years ago

Thank you, Marilyn, indeed, that might be tricky, so even though the lawyer has never responded, I'll be telling the tenant that this is not an option.

Thank you all for valuable input and Happy Easter to you all.

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