Hi,
I currently have 1 residential investment property that is rented - Very little capital allowances / mortgage interest to offset against rental income - once the mortgage repayments / annual charges / Insurance / Property tax / Rental income tax, there is no surplus.
My family have a cottage that has not been lived in for many years. With some investment, it could make a nice family home for someone. Its quite rural. I have contacted the local county council a number of times regarding the repaid and lease scheme - however haven't even got a response.
My question is. If i complete repairs on the cottage circa 70K - 100k - are these repairs off-settable (in terms of tax) against the total rental income for both properties? of just the property that is being repaired? I am looking for a way to avoid letting the cottage fall down & possibly by leveraging the rental income from the existing rental property.
many thanks