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Thursday, January 15, 2009

Buy-to-let tax advice - Finance costs

Many landlords will have taken out a mortgage or remortgaged a buy-to-let property as part of running their letting business.

Can I claim the costs of a mortgage or remortgage?

The costs of obtaining finance for a landlords letting business are a legitimate expense in running a landlords letting business.

The following therefore are legitimate costs in obtaining finance for a landlords letting business.

  • legal costs in securing a new loan such as conveyancing costs incurred in a remortgage
  • buy-to-let mortgage brokers commission
  • valuation fees associated with buy-to-let mortgage
  • fees paid for set up of buy-to-let mortgage

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2 comments:

Anonymous said...

Hello

I have a existing BTL property that I have just remortgaged to a different building society without increasing the loan. I would like to know as a landlord what costs I can claim back against tax from the list below.

New mortgage building society valuation survey fee
Mileage to meet surveyor for valuation survey
Telegraphic transfer fee to redeem existing loan
Title documents copy fee
Arrangement fee
Application fee
Transfer funds to Optima Legal fee
Landlord administration fee
Exit fee from previous mortgage company

Thanks in advance

TAXlation said...

All of them as long as they relate wholly and exclusively to a property being let out on a commercial basis.