My wife and I just bought our second property to let with the intention of buying more and building a portfolio. Our first house has been let for over a year now and we have not yet declared anything. The bank have told us we may increase our borrowing on the income from the first rental but we need a certificate of earnings or something from an accountant to show its profit. This property is now owned outright but we spent all the rent of the last over the last year paying off a small loan and a credit card used to top up the the savings we bought the house with.
Does anyone know how we can proceed on this? I am thinking we made no profit so we pay no tax but in reality we gained a house.
Does anyone know how we can proceed on this? I am thinking we made no profit so we pay no tax but in reality we gained a house.