Here are some options that landlords may wish to consider to help protect their profits.
+ Review your properties and see if you can get planning on an existing property to increase its value, by adding an extension, or converting the cellars?
+ If you have a one bedroom property, could you potentially convert it into a small two bedroom unit to increase rental income?
+ If you lack building skills or knowledge, but have equity or cash, it may be worth partnering with someone more skilled in building and renovation work as that could be more profitable.
+ Consider changing a house into an HMO and increase the rental income.
+ There is a real shortage of properties right now and prices are at a record high so consider selling some stock.
+ The tax changes do not affect Limited Companies. Consider setting up a Limited Company and using this structure to hold your properties.
+ Are you an active or passive investor? Passive investors will get hit hardest by the changes. Perhaps active investors can find deals for other investors and create income streams there.
+ It will become far more important to buy property below market value. Buying with a built-in discount will help ensure your investment is just that (ie an investment).
+ Consider other specialist areas of property investment which compliment traditional BTL. For example, can you manage properties for other landlords and charge a fee for that service? Can you sack your lettings agent and do the job yourself or use a cheaper online lettings agent.
If you would like to be kept up to date with Private Rented Sector news and views please visit our Facebook page or our Twitter page or complete and send the form below to receive our FREE email newsletters:
[fusion_builder_container hundred_percent=”yes” overflow=”visible”][fusion_builder_row][fusion_builder_column type=”1_1″ background_position=”left top” background_color=”” border_size=”” border_color=”” border_style=”solid” spacing=”yes” background_image=”” background_repeat=”no-repeat” padding=”” margin_top=”0px” margin_bottom=”0px” class=”” id=”” animation_type=”” animation_speed=”0.3″ animation_direction=”left” hide_on_mobile=”no” center_content=”no” min_height=”none”]
Error: Contact form not found.
[/fusion_builder_column][/fusion_builder_row][/fusion_builder_container]