With the new tax changes that have come into force recently, expats are strongly advised to seek advice from an accountant on what can be done to maximise profitability.
Expat landlords could be looking at reduced profitability due to the tax relief on mortgage interest paid being changed. There is also a new stamp duty level that has been introduced from April 2016 so any expat contemplating a purchase needs to be fully informed.
Looking at the immediate future it would seem to be very good advice if you are an expat landlord to seek professional assistance as to the options available.
A local accountant we spoke to said, “We are getting more and more expats than ever before coming to us to seek advice on incorporation or more general tax advice”.
The way forward
Firstly, get in touch with an accountant and see what can be done to reduce the effect of the new tax laws that have come into force. It is likely the accountant will recommend setting up a limited company to enable more tax advantages. Good news for expats is you can have a limited company registered in the UK whilst living overseas.
Secondly, completely review your current mortgage deal to make absolutely sure the current mortgage you have meets your needs now and in the longer term. It may very well be you currently have the correct mortgage, but it won’t do any harm to check it out.
It could be a very good time to consider re-mortgaging to release capital if required. By just completing these two simple tasks you could make huge savings over the coming years.
Need some mortgage advice?
If you wish to review your current mortgage please do contact one of our qualitied advisers and we will be pleased to help.