Almost one in five landlords say they are in it for the long term
Almost one in five landlords intend to remain in the buy to let market in the UK indefinitely, with the same number of portfolio landlords having a similar outlook.
With the tax laws changing from 2020/21 tax year, higher rate tax paying Landlords will no longer be able to offset any finance costs against rental income.
Unperturbed by these changes, 18% of landlords said they would expect to remain a landlord indefinitely and 19% of landlords with four properties or more said the same.
‘There have been ripples of concern that a mass exodus of landlords is expected, and certainly the changes introduced are a handful to deal with if not addressed in the right way,’ said Jeff Knight, marketing director of Foundation Home Loans.
‘But this is clearly an exaggerated view of the market. With so much interest in investing in the long term, it is therefore imperative that newer landlords are sufficiently supported to avoid any knee-jerk exits,’ he explained.
The good news is that there are plenty of solutions to consider when it comes to these changes in law. This is where we as Property Investor Partnership can help, by referring Landlords to our sister company, Insight Accountancy Services (IAS).
With the correct planning, it may be possible for landlords to utilise tax legislation to optimise and restructure their rental portfolios, without any requirements to refinance or to pay capital gains tax or stamp duty. There are legal structures available that your average main stream accountant may not have considered.
For more information and/or an informal consultation with IAS, feel free to get in touch with Property Investor Partnership on 01603 268083 or email email@example.com.
Click here to read the full article.
Request a Callback
Please fill in the form below and one of our team will get back to you soon.