A new tax year brings new rules, and the weekend’s financial press looked at what this year will mean for Buy-to-Let investors.
The Times highlighted the phased reduction in mortgage tax relief as the change that will have the biggest impact, and urged landlords to make sure they understand the implications. The National Landlords Association, for example, say they expect around 22% of the UK’s landlords to move up a tax bracket once these changes come into full effect.
The Telegraph looked at ways for investors to reduce the impact of the reduction in tax relief. Switching to a lower mortgage rate will help to cut costs for example, and the Buy-to-Let mortgage market is certainly a competitive one at the moment. Last week also saw the launch of a new offset Buy-to-Let scheme, which would enable landlords to use their savings to cut their tax bill. Experts suggested that deals such as this could be particularly appealing at a time when managing costs is so important.
The new tax year also meant the release of the Lifetime ISA, and the Times looked at the details alongside the existing Help to Buy ISA. Industry experts welcomed the additional savings product as a boost to help First-Time Buyers getting on to the property ladder a little faster.
What the papers said about the new tax year