How to Increase Your Returns from Property Investment

We are frequently asked by property investors how to increase their returns from their investment properties. We explore how up to 66% increase in returns can be achieved.

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Buy Property in a UK Limited Company

Buying property in a limited company can increase your "real" rental yield and post-tax profits, enhancing the appeal of property for investment.

It is estimated that over a 5-year period, returns can be improved by 66% by buying property in a company versus buying as an individual.

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Corporation Tax vs Income Tax - most buy-to-let property investors are higher rate tax payers and corporation tax is currently much lower than income tax at the higher rate
Deduct Mortgage Interest - entire mortgage interest can be deducted from your UK tax bill
Take Income Tax Efficiently - you can choose between repaying a Director loan, paying dividends, making pension contributions or re-investing
Lower Capital Gains Tax (CGT) - substantially lower CGT on the sale of share as opposed to the properties themselves

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Increase Returns from Property Investment

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Buying Property in a Limited Company is Now the Most Popular Strategy

Buying an investment property in a limited company has become the main way to buy, with 60%+ of buy-to-let property purchases in 2020, compared to 15% in 2015.

There is now over 300,000 companies that have been incorporated for the purpose of investing into a UK property.

You don't have to be a UK resident either to set up a limited company, so these benefits are also available for overseas buyers.

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Benefits of Buying in a Limited Company

Increase post tax rental profit
Maximise long-term capital gains
Increased mortgage options
Mitigate risk on your investment
Flexibility wth Inheritance Tax planning

‍Read more about the benefits of investing in property with a UK limited company.

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Setting up a Limited Company for Property Investment is Easy & Affordable

Setting up and managing your UK limited company has never been easier. Our partners can incorporate and mange your limited company for just £20 per month, providing you with savings of up to 66% over a 5-year period.

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Invest in a Property in a UK Limited Company

Speak to one of our team today about your next UK property investment and the benefits of investing within a UK limited company.

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