Page 18 of 44 FirstFirst ... 81516171819202128 ... LastLast
Results 171 to 180 of 433
  1. #171

    0 Not allowed!
    Quote Originally Posted by Weststander View Post
    This quote is hidden because you are ignoring this member. Show Quote
    Yes, unless you run a small ltd co to own the BTL's (with their bank loans), where you will continue to get full relief for interest paid and lenders other charges against profits subject to corporation tax.
    How much does it cost to set up a ltd conmpany?

    • North Stand Chat

      advertising
      Join Date: Jul 2003
      Posts: Lots

        


    • #172
      Mama said knock you out. LlcoolJ's Avatar
      Join Date
      Oct 2009
      Location
      Sheffield
      Posts
      8,252


      0 Not allowed!
      Quote Originally Posted by Triggaaar View Post
      This quote is hidden because you are ignoring this member. Show Quote
      Up until the rule changes, can you give me an example of how BTL repayment beats interest only (comparing with party boy doesn't count)?
      When you managed to get your second property (accidental landlord style) on a non BTL mortgage and it turned out that after the fixed rate finished it reverted to .75 above base rate so you don't want to switch it or rock the boat.
    • #173
      Mama said knock you out. LlcoolJ's Avatar
      Join Date
      Oct 2009
      Location
      Sheffield
      Posts
      8,252


      0 Not allowed!
      Quote Originally Posted by Renegade1 View Post
      This quote is hidden because you are ignoring this member. Show Quote
      How much does it cost to set up a ltd conmpany?
      £12

      https://www.gov.uk/limited-company-f...r-your-company

      Be aware that it's not as simple as "chuck the property in a Ltd Co" though. You need proper professional advice.
    • #174
      Members Uncle Spielberg's Avatar
      Join Date
      Jul 2003
      Location
      Worthing
      Posts
      41,328


      1 Not allowed!
      Quote Originally Posted by Renegade1 View Post
      This quote is hidden because you are ignoring this member. Show Quote
      How much does it cost to set up a ltd conmpany?
      The rates and fees are much higher for a limited company buy to let. Re the tax seek the advice of an accountant
      Spielberg is GOD.
    • #175

      0 Not allowed!
      Quote Originally Posted by Triggaaar View Post
      This quote is hidden because you are ignoring this member. Show Quote
      Yes. Unless you've got your BTL in a company, this basically no longer applies from now. A BTL now is a pain.

      The tax rules said that for the loan interest to be tax deductible, the loan had to be used to purchase the property in the first place, but many investors used equity release loans (in their BTLs) to help buy more BTLs to expand their portfolio and their accountants argued that the loans were being used for purchasing BTLs and treated the whole lot (all properties and morgages) together. I don't think you'd get away with it if you were moving your home mortgage.

      Unless the rates are significantly different, paying off your home mortgage surely beats paying off a BTL? As for doing something else with it, that depends how good you are at investing

      Well yeah obviously it's financially better in the long term to pay off a mortgage than piss your profits up the wall, that goes without saying. But the latter should be more fun

      It's not the best way to invest though (although the rule changes are affecting that).
      Up until the rule changes, can you give me an example of how BTL repayment beats interest only (comparing with party boy doesn't count)?

      How does an equity release loan work?

      I was talking about if you came into some money and just owned your home,then whether it would be better to pay off some of your mortgage or stick it in the bank as that way you have liquid cash.Assuming there is little difference between your mortgage rate and your savings rate then the bank is a better option?
    • #176

      0 Not allowed!
      Quote Originally Posted by LlcoolJ View Post
      This quote is hidden because you are ignoring this member. Show Quote
      £12

      https://www.gov.uk/limited-company-f...r-your-company

      Be aware that it's not as simple as "chuck the property in a Ltd Co" though. You need proper professional advice.
      Why do you think I come on here? To talk about football ?
    • #177
      Members Herr Tubthumper's Avatar
      Join Date
      Jul 2003
      Location
      The Fatherland
      Posts
      44,170


      0 Not allowed!
      Quote Originally Posted by LlcoolJ View Post
      This quote is hidden because you are ignoring this member. Show Quote
      £12

      https://www.gov.uk/limited-company-f...r-your-company

      Be aware that it's not as simple as "chuck the property in a Ltd Co" though. You need proper professional advice.
      Quite. I understand you will need to sell it to the business at the going market rate. So you’ll have the fees for selling it and then buying it plus possible capital gains.
      "I will design a town in the image of your face. Round the wrinkles of your eyes my footsteps you can trace. We could promenade down infra-nasel depression. The streets of your hands will never feel a recession."
    • #178

      0 Not allowed!
      So basically the option of using what's left of your rent after paying the interest to pay off your home mortgage will be gone when interest tax relief is phased out.So the other option as stated is to use what's left to put it into an ISA assuming the rate is higher than your BTL mortgage rate.

      Out of interest,if you guys won 500k on the lottery tomorrow,how would you invest it?Property?shares?other ways?A mix?If a mix what would be the split?
    • #179
      Members Herr Tubthumper's Avatar
      Join Date
      Jul 2003
      Location
      The Fatherland
      Posts
      44,170


      0 Not allowed!
      Quote Originally Posted by Renegade1 View Post
      This quote is hidden because you are ignoring this member. Show Quote
      Out of interest,if you guys won 500k on the lottery tomorrow,how would you invest it?Property?shares?other ways?A mix?If a mix what would be the split?
      Property.
      "I will design a town in the image of your face. Round the wrinkles of your eyes my footsteps you can trace. We could promenade down infra-nasel depression. The streets of your hands will never feel a recession."
    • #180
      Mama said knock you out. LlcoolJ's Avatar
      Join Date
      Oct 2009
      Location
      Sheffield
      Posts
      8,252


      1 Not allowed!
      Quote Originally Posted by Renegade1 View Post
      This quote is hidden because you are ignoring this member. Show Quote
      So basically the option of using what's left of your rent after paying the interest to pay off your home mortgage will be gone when interest tax relief is phased out.So the other option as stated is to use what's left to put it into an ISA assuming the rate is higher than your BTL mortgage rate.
      No. The removal of interest relief just means that you pay (much) more tax on the rental profit as the BTL interest is not an allowable expense. What you do with what's left (if there is anything) is entirely up to you.

      Quote Originally Posted by Renegade1 View Post
      This quote is hidden because you are ignoring this member. Show Quote
      Out of interest,if you guys won 500k on the lottery tomorrow,how would you invest it?Property?shares?other ways?A mix?If a mix what would be the split?
      You'd have to ask me once I'd sobered up.

Tags for this Thread

Bookmarks

Posting Permissions

  • You may not post new threads
  • You may not post replies
  • You may not post attachments
  • You may not edit your posts
  •