Blogger
Share this content
0
2
1981

apportionment of mortgage interest in property investment business

client borrows £450k secured on PPR and spends £350K on buy to let property - interest claimed as 350/450

however when lump sum capital repayment are made, are we allowed to treat the repayments as repaying the £100K personal element rather than apportion between the 2 elements (i.e. business & private)?

Replies

Please login or register to join the discussion.

mortgage

No reason not to -  the outstanding loan then equates to the original cost of the BTL, so all interest from then on would be allowable

Thanks (0)

thanks Steve

that was my view

Thanks (0)