Property News · April 1, 2017

Mortgage tax relief cut doesn’t add up for buy-to-let landlords


Tenants are being turfed out as tax changes beginning in April make it increasingly hard for owners to profitToday will see two of buy-to-let landlord Jamie Brewis’s tenants – a couple in their 60s – having to move out of the bungalow that has been their home for the past four or so years. They didn’t want to go, and were good tenants. But Brewis says he had no choice but to give them notice, thereby forcing them to find somewhere else to live, because of major tax changes being phased in from this Thursday.Brewis says he has decided to sell the property because the cut in tax relief on mortgage interest payments for buy-to-let landlords means that in this particular case the maths no longer stack up, and he would end up making a net loss. With what he is paying on the mortgage, against the rent he receives, he says the result will be that “I am not earning anything out of it – in fact, it’s costing me money.” Continue reading…

Source : theguardian.com
Read more…Mortgage tax relief cut doesn’t add up for buy-to-let landlords

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