Topic: Property

Property and Tax Seminar 30th March 2017

Limited space available for our Property and Tax Seminar on Thursday 30th March 2017.

There are still a few spaces available for our seminar which will be taking place at the Abbey Hill Golf Club in Milton Keynes on the 30th March – so if you are interested in how the recent tax changes will affect your property and would like to hear our guest speakers Dan Morris from Crystal Specialist Finance and Mark Stephenson from Castle Trust further educate us then please email info@1stff.co.uk or call 1st Financial Foundations on 01908 523 420 for further information.

Venue: Abbey Hill Golf Club
Address: Abbey Hill, Monks Way, Two Mile Ash, Milton Keynes MK8 8AA
Date: Thursday 30th March
Time: Arrival 9.30am for 10am start -12 midday finish
Speakers: Dan Morris, Mark Stephenson and Yash Tosar

Private Residence Relief For Landlords

What is Private Residence Relief?

 You don’t pay Capital Gains Tax when you sell (or ‘dispose of’) your home if all of the following apply: you have one home and you’ve lived in it as your main home for all the time you’ve owned it.

When and How Much?

A great article we would like to share looks at the mechanics of capital gains tax private residence relief, and how residential property landlords may be able to claim relief.

With landlords facing capital gains tax (CGT) rates of 18% and/or 28% on the disposal of residential properties, this article considers the availability of private residence relief on disposals by landlords.

How to cope with loosing buy to let tax relief

property tax

Are you an individual or a Company affected by the change in tax on property?

The recent tax change can either hold a cloud or silver lining for you… how best to cope with these obstacles.

You could be feeling a double blow with the announcement that tax relief on buy-to-let mortgage interest payments would be slashed from April 2017 and that buy-to-let properties (and second homes) would incur an extra 3 per cent stamp duty. If you’re new to buy-to-let, you might not appreciate the grand scale of this is. Up to now, people buying to let have been able to claim tax relief on their mortgage interest payments at their marginal rate of tax. This means that a basic rate taxpayer would get 20 per cent tax relief, but those at a higher rate would receive 40 per cent relief, while top-rate taxpayers could claim 45 per cent.

Property Investment

Knowing the Risk, Planning & Knowledge

Fear of Risk

Everybody has a personal risk tolerance profile; some of us are quite comfortable with perceived risk while others are highly risk-adverse.

There are six main fears when buying a property:

  • Overcapitalisation – that is paying too much, being ripped off…there are so many stigmas associated with estate agents and concern around agents ripping off undiscerning buyers.
  • Buying a lemon – everyone fears their property underperforming in terms of capital growth when benchmarked against others in a similar area.
  • Troublesome tenants – who either trash the property or don’t pay their rent.
  • Vacancy problems – a common fear is having a property that’s hard to let with low or no tenant demand.
  • Lifestyle sacrifices –  if the property ends up costing more than initially expected resulting in extreme negative cash flow.
  • Market crash – they fear a ‘bubble’ or downturn will strike as soon as they’ve purchased, creating a negative equity position.

All are legitimate fears but there are actions that can address every single one.