On the surface, registering as a limited company could serve higher taxpayers and larger investors well, while mainstream lenders remain a suitable option for independent landlords. However, with different lenders posing differing criteria - dependent on a number of factors - there isn’t a blanket solution.
To best navigate the changes to mortgage interest relief, it is important for all landlords to do their homework before the full extent of the mortgage interest deduction is implemented from April 2020. To that end, in addition to finding the right lender with the best rate, landlords should consider this in conjunction with their return on investment to determine the most financially viable solution.
The gradual phasing of this legislative change has meant that, year on year, landlords have had little consistency when it comes to their finances, which can cause concern. However, we’re confident that we can support clients as they adapt to this ever-changing landscape and, for those who are unsure, seeking professional advice should be the first port of call.
Credit: Mike Perrin / Private Finance
Lisa Simon is the head of residential sales at Carter Jonas.