renting out main residence - tax on rental income

bob_bank_spanker

sparky130a wrote: »

I'm not getting involved in an argument.

However...

Says it all :beer:

ps - what accountancy qualifications do you have?!

sparky130a

bob_bank_spanker wrote: »

Says it all :beer:

ps - what accountancy qualifications do you have?!

A better one than you.

bob_bank_spanker

sparky130a wrote: »

A better one than you.

Doubt it very much.

ACA ACCA BA Hons.

PM me if you want proof.

Pal.

Start being nicer to people.

sparky130a

bob_bank_spanker wrote: »

Doubt it very much.

ACA ACCA BA Hons.

PM me if you want proof.

Pal.

Start being nicer to people.

And yet you missed the salient point.....

Stop measuring accountancy dicks.. Which are frankly pathetic at the best of times and start getting commercially aware.



I've no desire to argue with you, but i will not be condescended to.

I'll be nice. But also factual. Suggest you do the same.

bob_bank_spanker

sparky130a wrote: »

Stop measuring accountancy dicks..

Hang on - you initiated this?!

I have perfectly acceptable qualifications in economics, accountancy,business studies and law.

Anyway, I'm done. OP, if you want some actual advice, seek an accountant, not weirdo electricians from the internet.

lithe

sparky130a wrote: »

To be fair, the figures speak for themselves....

And i lose interest when it's realize not realise...

English is not my first language, I'm from continental Europe. I studied and worked for several years in North America before moving to the UK. I'm sorry if my command of English irked you. My deepest apologies.

!!!!!!. Is this British enough?

Crashy_Time

https://abodeltd.co.uk/section-24/

getmore4less

You don't include the capital payments to work out the profitability.

You need them for the free cash flow but the payments are equity creating.

Your starting gross yield of 4% is not good start but with around 50% invested your ROI(net yield) on operating the business will be higher if you can keep costs/voids under control.
That's your magic number and probably enough to make it worth while.

The reality is this will not be generating much if any free cash while on repayment, more a keep a toe in the London market and a play on London HPI.

lithe

Thank you! Yes I know that capital payments are not included to work out the profitability but I still need to make those £1000 mortgage payments monthly.

Do you calculate the gross yield on the purchase price on purchase price or on current value? Purchase price was £260K, estimate value now is about ~ £400K (based on sold prices in my building, but also bank index valuation).