Join the Residential Landlords Association

Member Forums - Report Post

If you wish for the RLA to contact you regarding this report please remember to provide contact details.

Please Note: - This facility is for reporting of abuse or other breaches of the forum rules. Please do not use this facility to reply to the post as your response will not appear here - to reply please use the quote option.
  1. Please do not post RLA enquiries in these forums. Any enquiries should be sent to info@rla.org.uk.
  2. Please note that the initial message in any forum conversation on this website is viewable by the public.
  3. For security reasons, please do not include your membership number within the title or body of your forum post.
  4. You must not include any personal details relating to your tenants, such as their names and addresses, in your postings.
  5. You must not use the forums to advertise your service or business. Please use the RLA's suppliers guide for all advertising purposes.
  6. Any content deemed as advertising, inappropriate or does not meet the RLA's code of conduct will be removed from the forums.
  7. The RLA cannot be held responsible for any posts made in these forums by non-RLA staff
Report a post:
Ibsy said: Posted on: 16/03/2018 09:39

Section 24 rules essentially means that my wife and I would need to use an LTD for a buy to let as we are both 40% taxpayers doing our regular day jobs. I cant see any work-arounds for this. Furthermore, the difference in interest rates between personal buy to lets and that via an SPV appear to have narrowed to below 1% on a 5 year fix.

We are looking at purchasing a couple of student HMO's over the next year. Our priority is to generate income now, and not creating a nest egg for retirement. With this aim in mind, I would welcome thoughts as to how to structure such a purchase. Namely:

-am i right to assume the SPV option is the only realistic option?
-can my wife and I in addition to the £2K dividend each we are entitled to have a directors salary (<£8K) from an SPV as a way of getting money out of the SPV?
- we have 3 kids in primary school - any advantages/disadvantages around making them directors / shareholders when they become adults?

Apologies for the length and complexity of the question. Appreciate views from others before I approach my fairly risk adverse accountant!

Many thanks in advance.

Landlord & Investment Show London Olympia 2019
Residently
99 Homes
John Pye Auctions