My client has a property which he purchased on a flexible interest only mortgage of £500K - the property has never been let. He can repay capital or draw down capital during the length of the mortgage. Over the 12 years of ownership he has repaid £400K leaving a balance today of £100K. He now wishes to let the property and also wishes to draw down the £400K bringing the mortgage back to £500K. If he does so...... is the interest on the whole £500K mortgage claimable against the residential letting profits?
6th Mar 2015
1
Mortgage interest
Mortgage interest