Paul Munn: Residential property funds can pick up buy-to-let baton

Significant value in Scotland

clock • 6 min read

The recent changes to the way buy-to-let investments are taxed could turn out to be property funds' - and their investors' - gain, argues Paul Munn

Buy-to-let was once a golden egg for investors. Properties could be bought with relatively small deposits, tenants covered mortgage payments and other costs and, 20 or so years later, the investor owned a mortgage-free property and was sitting on a significant capital gain. Simple. In reality, a mortgage-free property may not always have been the end result, but only because interest-only-mortgages have been far and away the most popular option for buy-to-let investors. The attractions of buying this way were greater for most people. Since mortgage interest payments could be offset ag...

To continue reading this article...

Join Professional Adviser for free

  • Unlimited access to real-time news, industry insights and market intelligence
  • Stay ahead of the curve with spotlights on emerging trends and technologies
  • Receive breaking news stories straight to your inbox in the daily newsletters
  • Make smart business decisions with the latest developments in regulation, investing retirement and protection
  • Members-only access to the editor’s weekly Friday commentary
  • Be the first to hear about our events and awards programmes

Join

 

Already a Professional Adviser member?

Login

More on Property Investment

More advisers favour real estate to derisk portfolios

More advisers favour real estate to derisk portfolios

Advisers ‘increasingly positive towards real estate’, research finds

Jenna Brown
clock 23 April 2024 • 1 min read
Majority of advisers set to increase real estate allocation

Majority of advisers set to increase real estate allocation

To de-risk portfolios through diversification and increase ESG focus

Isabel Baxter
clock 30 January 2024 • 1 min read
Peer-to-peer market grows as advisers seek further diversification

Peer-to-peer market grows as advisers seek further diversification

Exploring Defaqto data on peer-to-peer market

Darren Winfield
clock 22 September 2023 • 4 min read