Faith not fear!
Without a shadow of a doubt, some of the worst decisions I have made in my life have been when I have been gripped by fear and when considering all the changes to the property market over the last 12 months I believe that it is easy to give in to the temptation to make decisions out of fear and not faith.
If you are a higher rate taxpayer you will, over the next 4 years, gradually start to lose the ability to claim mortgage interest relief at the higher rate.
This along with other measures such as the removal of the wear and tear allowance and the introduction of the Stamp Duty surcharge of 3% for new purchases have put added strain onto an already squeezed private rented sector.
In light of all these changes and the negative press from some quarters around 'being a Landlord' it would be easy to give in, give up and sell up however I believe that if you are an intentional Landlord and 'in it for the long term' that you should not use changes to the tax system as a reason to sell your property.
After all, putting your money in the bank will yield nowhere near the same return on your money as a well managed rental property!
The conclusion I have come to when considering all these changes is that I have absolutely no intention of selling my property portfolio and I am looking forward with baited breath to see what additional opportunities this change in the market presents myself and our other Landlords with.
If you would like to speak with me or one of our expert team on how you are currently running your property business in view of these changes then please let us know. The mortgage market is highly competitive at present so perhaps our mortgage team can assist you in getting a better deal than you currently have?
All Landlords should also seek tax advice from a qualified Tax Adviser and, if you would like assistance in this area, we are able to refer you on to a qualified third party.
Thanks for reading and here's to the future and making decisions based on FAITH and not fear!
Steven
