Finance & Strategy Expert
We are inheriting a house and land. The land is big enough to hold three houses total. We will be freehold with no debt. Do we subdivide and build the two extra houses, or only build one house and market for a higher rental income from both properties?
I have had a rental property for a few years prior to now owning a family home. My rental has had more mortgage principal paid off than my family home and therefore a lesser interest amount to claim back. Can I re-structure my bank loans to show that my rental has had less principal paid off and more interest to claim back? If not, my family home is being used as collateral for my rental so maybe this interest can be claimed back too?
We currently have a farm and two rental properties with the same bank. The bank holds securities over all properties for all loans. We originally used the equity in the farm to purchase the rentals. Someone told me we shouldn't have it set up this way. Is this correct? If so, can you tell me why?