I am wondering if I have a BTL property that I renovated (purchase price 150K + 100K renovations, new value = 250K - new doors/windows/plastering/new kitchen/new bathroom etc), when I go to sell it, do i pay CGT on everything over 150K or everything over 250K?
I don't have the property yet. I am basically trying to figure out best options.
Rough plan - buy a place in cash with my father. Renovate it. Get a BTL mortgage then to repay the father.
I thought you can only claim the renovations against rental income if renovated WHILE a tenant is in situ?
Would the example of renovations above count towards enhancement allowance? As Kitchen/Bathroom etc would still be there, along with windows etc, I would presume so?