Commercial: buy, renovate, rent ?

Schillachie

Registered User
Messages
24
Hi There,

let's say one borrowed 600k to buy a building and renovate it to a good standard with the idea of letting it out. If a commercial rate of 5% is acquired from a bank for a period of 5 years on an interest only basis, I estimate the yearly repayments to be 30K. Are there any Section ?? available to reduce the interest relief ? Estimated yearly rent would be 30K with no gain ! bar property appreciation.

If not, is there any way of driving down the interest repayment. I guess the rent would likely go up after 5 years. Any ideas how much % rents have gone up in the last 5 years nationally ?

Is this a good investment ?

Schillachie