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Daryl Leeds

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Everything posted by Daryl Leeds

  1. Hi. I think the concern is potentially over the property valuation being more suspect. There are plenty of lenders who don’t mind though - you just need a good broker.
  2. Hi I have a good tenant who wants to move his girlfriend in - I have no problem with this. She is a student with student accommodation and has asked that she isn't put on the tenancy agreement but is given consent to be an occupier instead. I think she wants it this was for her benefits situation. Does anyone have experience or advice around this? thanks Daryl
  3. Great thanks Craig. Things are changing but if I end up needing Openrent I will certainly use your link. Cheers Daryl
  4. Hi. Does anyone use any online tenancy portals that aren't tied to letting agents? I'm looking to save some time on tenant referencing (I know there are loads of these available) but also sending out a tenancy agreement & renewals, organising deposit protection etc. I've done this myself before but usually have to source an agreement, find the latest 'How to rent', dig out the prescribed information on deposit protection, set up a document for online signing etc and I could just do with saving the time. I asked one of my letting agents but he wanted to charge the full letting fe
  5. It's a big help thanks @debbie franklin. I did more research and challenged the accountant doing my filing over whether a residual value was allowed or not (he said it wasn't last year). Thankfully, my research, spurred on by your comment, has swung him and I've been able to correct depreciation to a much more sensible (i.e. close to zero) level! I couldn't be bothered with FRS102 as it's mainly funded by interest free loans, which need a complex discounting calculation, and I don't want the additional information to be disclosed. thanks again Daryl
  6. Hi Debbie Under FRS105 it is mandatory even though the Financial Reporting Council argues against it - It was noted that some of the simplifications made in FRS 105, including the omission of some of the disclosures required by FRS 102, would not have been introduced if they had not been necessary to ensure legal compliance with the micro-entities regime. For example, the FRC continues to believe that investment property should always, when practicable, be measured at fair value as this provides more relevant information to users of the financial statements of a
  7. Hi Jordan Depreciation is a cost in the profit and loss account which represents the 'wearing out' of assets. So, if you bought a machine for £10k which lasted 10 years, you would have £1k per year as a cost (the £10k isn't a cost as you have just 'swapped' cash for another asset). Sometimes, you might use a different pattern of spreading the cost out over the years, e.g. vehicles would depreciate more heavily earlier on in their life. Depreciation doesn't usually apply to properties that are likely to increase in value. However, one of the simpler ways of presenting your accounting
  8. Hi Jordan I hope I'm understanding your question correctly... Dividends can be paid for any amount up to and including your total profit for the year. Total profit is income minus revenue expenses so capital expenses don't really come into it. The fact that your company owes money on a director's loan or even on a mortgage doesn't mean that it has made a loss. So you don't have to wait until you have paid back the director loan before you take any dividends. Of course you will have to pay tax on any dividends you take (although you get an allowance of £5k for 17-18 and £2k for y
  9. Hi My first BTL in Bristol (St Annes Park) is coming up for relet. My lovely long-standing tenant of 15 years is retiring and moving in with his family. Since it's so long since I've done anything down there (tenant has always been happy with flat and always declined the offer of decorating etc), I have no network and would really appreciate any recommendations for: painter and decorator carpet supplier (someone to measure up, remove old carpet and fit new ones) letting agent I did have a good letting agent in the area and they're still active but they 'lost' my
  10. Hi Simon It was RMP I went to see. They haven't had an opportunity that fits my criteria yet so I can't report much more. I have also been following WeSellBMV's emails and wonder if anyone has any experience of dealing with them or could recommend/warn against any other sourcers. Thanks Daryl
  11. Hi all I have a portfolio of 6 properties so far and have spent months educating myself about property and its management - thanks to the great resources on here and the podcast. They have really helped to fuel my passion for property and now I have a plan for adding to my portfolio over the coming years. I'm an accountant who works in industry as a contractor (systems, management consultancy etc) and I've done a fair bit of research on tax rules and company structures etc. So I'm thinking about combining my passion and experience with a friend who is a Chartered Accountant in Practi
  12. I have had a tenant since 2005 who is great. He's happy to stay in my flat 'until he kicks the bucket' and I'm pretty happy to have him. He came in on an AST, has had one or two more since then but we have been on month to month for years. Now I'm putting new windows in, he's agreed to a moderate increase in the rent to cover it and I'm proposing to issue him with a new tenancy agreement. He and I are both happy to commit to two years at the new rent. I've got 2 questions: 1) Does giving a 2 year tenancy give him any additional rights after those 2 years expire? 2) Does the
  13. @Mark Morris Hi Mark; I just thought I'd update you on my research which is that mortgage companies have a strong preference for a non-holding company to make the investment, i.e. your structure looks better. Since I've already bought a couple of properties for cash in my holding company, I'm going to rename and demote it! I'll form a new holding company which will hold shares in my consulting co and property co. I'll pay dividends up to the parent and lend them to the property co. I've still to complete my research on whether an inter-company loan MUST be interest-bearing. There seem to
  14. Update after I've seen the well-respected sourcing company; they know the mortgage brokers that can make the lenders understand the proposition. I guess it's unlikely that sourcing companies can survive off cash sales so the mortgage market has to work for them somehow!
  15. I've had the same issue. Did you find anything else out Matthew?
  16. Hi. Not sure if you got sorted but you can work on a cash basis, i.e. If you received rent on or before 5th April (not 31st March) then you include it in that tax year. The same goes for any payments, even if you've paid a year's insurance up front. Remember it's only the interest element of the mortgage payment - if it's a repayment mortgage.
  17. Richard and Tim - sincere thanks for your responses. There are plenty of tips in there and plenty to think about. I said 'with the same yield' but the smaller ones I've been looking at tend to have a slightly better one actually. I'm aiming to buy one every 6 months, mainly from current savings. I could go faster but don't want to rush too much at this stage. Thanks again - really helpful. Daryl
  18. Hi - I posted this in another topic but not sure if the right place so have reposted it here. If I can get the same yield, regardless of size, I'm really interested to hear people's opinions on whether larger investments are better or worse than smaller. I'm attracted to smaller purchases as it's easier to find cash for the next deposit. I can grow my portfolio more steadily and making more purchases means I can learn more and make better decisions over time. I also hope that the investments will be in under-valued areas and get more capital growth. I know this is only
  19. Hi David. I'm in the same position. I have a consultancy Ltd and I'm paying 98+vat per month and have set up just one company that is holding and btl. The only activity in the holding company is btl - it has a share in the consulting co so I can pass dividends to it. I'd double check if you really need two. You can always restructure with a different holding co later if necessary. The accountant didn't offer a monthly fee but said they would quote me at year end, depending on activity. That's March so I'll know soon! My friend is an accountant and said that his firm 'i
  20. If I can get the same yield, regardless of size, I'm really interested to hear people's opinions on whether larger investments are better or worse than smaller. I'm attracted to smaller purchases as it's easier to find cash for the next deposit. I can grow my portfolio more steadily and making more purchases means I can learn more and make better decisions over time. I also hope that the investments will be in under-valued areas and get more capital growth. I know this is only a hope though! A larger investment means I have fewer potential problems in my portfolio in the
  21. Oh yeah - February LAST YEAR! Hope the reply is still useful!!
  22. Hi Kevin If you're asking about sale prices rather than rents, I'd look at sold prices on RightMove. You have to take the rising market into account but it should give you some idea of what things have actually gone for. cheers Daryl
  23. Hi I didn't check the form numbers you quoted but my experience is that, once you trigger the need for a tax return, you have to fill the whole lot in. It's not that bad, the most irritating thing for me is finding all the interest received figures that the banks already report to the tax office! That said, things are changing so in years to come you won't need to report things they already know about. Hope this helps even if it's not what you wanted to hear! I've always had really good advice from HMRC themselves though - just give them a call. cheers
  24. Thanks for the tip - I had a look but wouldn't pay nearly £35 per month for some online software - even after discount it's a big spend for someone in Yorkshire!
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