Property118 Ltd understands that your privacy is important to you and that you care about how your personal data is used and shared online. We respect and value the privacy of everyone who visits this website, www.property118.com
(“Our Site”) and will only collect and use personal data in ways that are described here, and in a manner that is consistent with Our obligations and your rights under the law.
- Definitions and Interpretation
In this Policy the following terms shall have the following meanings:
||means an account required to access and/or use certain areas and features of Our Site;
||means a small text file placed on your computer or device by Our Site when you visit certain parts of Our Site and/or when you use certain features of Our Site. Details of the Cookies used by Our Site are set out in section 13, below;
||means the relevant parts of the Privacy and Electronic Communications (EC Directive) Regulations 2003;
||means any and all data that relates to an identifiable person who can be directly or indirectly identified from that data. In this case, it means personal data that you give to Us via Our Site. This definition shall, where applicable, incorporate the definitions provided in the EU Regulation 2016/679 – the General Data Protection Regulation (“GDPR”); and
||Means Property118 Ltd , a limited company registered in England under company number 10295964, whose registered address is 1st Floor, Woburn House, 84 St Benedicts Street, Norwich, NR2 4AB.
- Information About Us
- Our Site is owned and operated by Property118 Ltd, a limited company registered in England under company number 10295964, whose registered address is 1st Floor, Woburn House, 84 St Benedicts Street, Norwich, NR2 4AB.
- Our VAT number is 990 0332 34.
- Our Data Protection Officer is Neil Patterson, and can be contacted by email at email@example.com, by telephone on 01603 489118, or by post at 1st Floor, Woburn House, 84 St Benedicts Street, Norwich, NR2 4AB.
- What Does This Policy Cover?
- Your Rights
- As a data subject, you have the following rights under the GDPR, which this Policy and Our use of personal data have been designed to uphold:
- The right to be informed about Our collection and use of personal data;
- The right of access to the personal data We hold about you (see section 12);
- The right to rectification if any personal data We hold about you is inaccurate or incomplete (please contact Us using the details in section 14);
- The right to be forgotten – i.e. the right to ask Us to delete any personal data We hold about you (We only hold your personal data for a limited time, as explained in section 6 but if you would like Us to delete it sooner, please contact Us using the details in section 14);
- The right to restrict (i.e. prevent) the processing of your personal data;
- The right to data portability (obtaining a copy of your personal data to re-use with another service or organisation);
- The right to object to Us using your personal data for particular purposes; and
- If you have any cause for complaint about Our use of your personal data, please contact Us using the details provided in section 14 and We will do Our best to solve the problem for you. If We are unable to help, you also have the right to lodge a complaint with the UK’s supervisory authority, the Information Commissioner’s Office.
- For further information about your rights, please contact the Information Commissioner’s Office or your local Citizens Advice Bureau.
- What Data Do We Collect?
- Date of birth;
- Address and post code;
- Business/company name and trading status;
- Number of properties owned;
- Accountants details;
- Contact information such as email addresses and telephone numbers;
- Proof of residence and ID;
- Financial information such as income and tax status;
- Landlords insurance renewal dates;
- Property Portfolio details such as value and mortgage outstanding;
- How Do We Use Your Data?
- All personal data is processed and stored securely, for no longer than is necessary in light of the reason(s) for which it was first collected. We will comply with Our obligations and safeguard your rights under the GDPR at all times. For more details on security see section 7, below.
- Our use of your personal data will always have a lawful basis, either because it is necessary for our performance of a contract with you, because you have consented to our use of your personal data (e.g. by subscribing to emails), or because it is in our legitimate interests. Specifically, we may use your data for the following purposes:
- Providing and managing your access to Our Site;
- Supplying our products and or services to you (please note that We require your personal data in order to enter into a contract with you);
- Personalising and tailoring our products and or services for you;
- Replying to emails from you;
- Supplying you with emails that you have opted into (you may unsubscribe or opt-out at any time by the unsubscribe link at the bottom of all emails;
- Analysing your use of our site and gathering feedback to enable us to continually improve our site and your user experience;
- Provide information to our partner service and product suppliers at your request.
- With your permission and/or where permitted by law, We may also use your data for marketing purposes which may include contacting you by email and or telephone with information, news and offers on our products and or We will not, however, send you any unsolicited marketing or spam and will take all reasonable steps to ensure that We fully protect your rights and comply with Our obligations under the GDPR and the Privacy and Electronic Communications (EC Directive) Regulations 2003.
- You have the right to withdraw your consent to us using your personal data at any time, and to request that we delete it.
- We do not keep your personal data for any longer than is necessary in light of the reason(s) for which it was first collected. Data will therefore be retained for the following periods (or its retention will be determined on the following bases):
- Member profile information is collected with your consent and can be amended or deleted at any time by you;
- Anti-Money Laundering information and tax consultancy records are to be kept as required by law for up to seven years.
- How and Where Do We Store Your Data?
- We only keep your personal data for as long as We need to in order to use it as described above in section 6, and/or for as long as We have your permission to keep it.
- Some or all of your data may be stored outside of the European Economic Area (“the EEA”) (The EEA consists of all EU member states, plus Norway, Iceland, and Liechtenstein). You are deemed to accept and agree to this by using our site and submitting information to Us. If we do store data outside the EEA, we will take all reasonable steps to ensure that your data is treated as safely and securely as it would be within the UK and under the GDPR
- Data security is very important to Us, and to protect your data We have taken suitable measures to safeguard and secure data collected through Our Site.
- Do We Share Your Data?
- We may share your data with other partner companies in for the purpose of supplying products or services you have requested.
- We may sometimes contract with third parties to supply products and services to you on Our behalf. Where any of your data is required for such a purpose, We will take all reasonable steps to ensure that your data will be handled safely, securely, and in accordance with your rights, Our obligations, and the obligations of the third party under the law.
- We may compile statistics about the use of Our Site including data on traffic, usage patterns, user numbers, sales, and other information. All such data will be anonymised and will not include any personally identifying data, or any anonymised data that can be combined with other data and used to identify you. We may from time to time share such data with third parties such as prospective investors, affiliates, partners, and advertisers. Data will only be shared and used within the bounds of the law.
- In certain circumstances, We may be legally required to share certain data held by Us, which may include your personal data, for example, where We are involved in legal proceedings, where We are complying with legal requirements, a court order, or a governmental authority.
- What Happens If Our Business Changes Hands?
- How Can You Control Your Data?
- In addition to your rights under the GDPR, set out in section 4, we aim to give you strong controls on Our use of your data for direct marketing purposes including the ability to opt-out of receiving emails from Us which you may do by unsubscribing using the links provided in Our emails.
- Your Right to Withhold Information
- You may access certain areas of Our Site without providing any data at all. However, to use all features and functions available on Our Site you may be required to submit or allow for the collection of certain data.
- How Can You Access Your Data?
You have the right to ask for a copy of any of your personal data held by Us (where such data is held). Under the GDPR, no fee is payable and We will provide any and all information in response to your request free of charge. Please contact Us for more details at firstname.lastname@example.org, or using the contact details below in section 14.
- All Cookies used by and on Our Site are used in accordance with current Cookie Law.
- Before Cookies are placed on your computer or device, you will be shown a cookie prompt requesting your consent to set those Cookies. By giving your consent to the placing of Cookies you are enabling Us to provide the best possible experience and service to you. You may, if you wish, deny consent to the placing of Cookies; however certain features of Our Site may not function fully or as intended. You will be given the opportunity to allow only first party Cookies and block third party Cookies.
- Certain features of Our Site depend on Cookies to function. Cookie Law deems these Cookies to be “strictly necessary”. These Cookies are shown below in section 13.5. Your consent will not be sought to place these Cookies, but it is still important that you are aware of them. You may still block these Cookies by changing your internet browser’s settings as detailed below in section 13.9, but please be aware that Our Site may not work properly if you do so. We have taken great care to ensure that your privacy is not at risk by allowing them.
- The following first party Cookies may be placed on your computer or device:
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||Used only to collect performance data, with any identifiable data obfuscated
||This cookie is strictly necessary for Cloudflare's security features and cannot be turned off.
- Our Site uses analytics services provided by Google Analytics and Facebook. Website analytics refers to a set of tools used to collect and analyse anonymous usage information, enabling Us to better understand how Our Site is used. This, in turn, enables Us to improve Our Site and the products AND/OR services offered through it. You do not have to allow Us to use these Cookies, however whilst Our use of them does not pose any risk to your privacy or your safe use of Our Site, it does enable Us to continually improve Our Site, making it a better and more useful experience for you.
- The analytics service(s) used by Our Site use(s) Cookies to gather the required information.
- The analytics service(s) used by Our Site use(s) the following Cookies:
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||Helps to understand how their visitors engage with our website
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- In addition to the controls that We provide, you can choose to enable or disable Cookies in your internet browser. Most internet browsers also enable you to choose whether you wish to disable all cookies or only third party cookies. By default, most internet browsers accept Cookies but this can be changed. For further details, please consult the help menu in your internet browser or the documentation that came with your device.
- You can choose to delete Cookies on your computer or device at any time, however you may lose any information that enables you to access Our Site more quickly and efficiently including, but not limited to, login and personalisation settings.
- It is recommended that you keep your internet browser and operating system up-to-date and that you consult the help and guidance provided by the developer of your internet browser and manufacturer of your computer or device if you are unsure about adjusting your privacy settings.
- Contacting Us
16:36 PM, 7th December 2020, About 3 years ago
Mark Alexander commented:
"Whilst borrowing in your own name to acquire properties, using personal buy-to-let mortgages, might result in greater availability of mortgage products as well as lower rates of interest, but only if you invest into flats and houses and you are UK resident. The interest rates for non-residents, HMO’s and semi commercial properties is very similar whether you borrow in your personal name or through a company. Furthermore, personal ownership has longer term taxation consequences which could prove to be detrimental to your objectives in the longer term. These include:
• Income tax on profits at your marginal rate
• Up to 28% capital gains tax when properties are sold (currently under review with proposals to match the UK marginal income tax rates)
• 40% inheritance tax on capital growth
• The inability to offset finance costs against rental income, particularly for residential property letting.
Given that property investment is a long term strategy it often pays to ‘play the long game’ as opposed to taking a short term view."
16:37 PM, 7th December 2020, About 3 years ago
Please see the video added to the above article
12:17 PM, 8th December 2020, About 3 years ago
While the choice ultimately depends upon your goals, Ltd Co would give you a lot of flexibility that you don't have owning in your own name as demonstrated in video above. This flexibility might be very handy when the govt increases taxes everywhere.
In essence in your own name your only choices are to spend money on repairs or divert some into a pension, the rest is taxed at whatever rate.
In a LtdCo
1) You can extract money as salary, dividend, loan interest, loan capital or any combination that's most tax efficient.
2) You can divert money into your (now director's) pension up to £40K per year and if you have an existing pension that you haven't paid into recently, backdate that for the previous 2 years, Ie up to 120K.
2a Transfer this pension money to a SSAS and lend back to your company at a commercial rate and the interest charged goes into your pension as a cost to your business. This is a whole other topic in itself.
3) if you buy a £200K property in your own name with a £50K deposit and £150K mortgage, your £50K is tied up until you remortgage. If you buy through a new company, you would have to lend that £50K to the company since it has no capital but as the company starts to make money you can start to take that £50K of capital back at a time of your choosing. So you could extract a combination of salary, dividend, interest and capital.
Eg if you are on £50K per year but next year you need £55K you could pay down 5K of the £50K loan and stay within the 20% tax bracket. It's not easy to extract bits of your deposit from the property when it's in your own name. Remortgage depends on increase in property value, time and has costs associated.
You are a lender to your company and can then charge your company interest on the £50K. Interest is treated differently to salaried income.
Mark Alexander - Founder of Property118
12:22 PM, 8th December 2020, About 3 years ago
Reply to the comment left by Darren Peters at 08/12/2020 - 12:17
Good points Darren ...
It is possible for company owners to take £20,500 tax free from their limited company!
You can do this by using the following allowances and bands to your advantage.
• Personal allowance (PA): £12,500 – all income within this allowance is tax free
• Savings rate band (SRB): £5,000 - interest taxed at 0%
• Personal savings allowance (PSA): £1,000 - interest taxed at 0%
• Dividend allowance (DA): £2,000 - dividends taxed at 0%
Therefore, if you had a Directors’ loan account with a balance of £185,000 an annual interest rate of 10% should be acceptable with HMRC allowing you to receive £18,500 of interest income entirely tax free. This would be an allowable expense to your company saving corporation tax at 19% and you would also be able to receive it personally without any tax.
On top of this you can take £2,000 in dividends from the company personally without paying any income tax. Do remember that dividends are paid post-tax and as such your company will have already paid 19% corporation tax on this element of income.
If your directors’ loan account balance is not large enough to charge such as high rate of interest, you may be just as well off by taking a small salary of around £9,500 and receiving additional income from a mixture of interest and dividends as above.
Also, as you say, if the company has more cash available you can use that money to repay Directors loans, which are not taxed either.
Last but not least, you could decide to live abroad and pay not UK tax on UK dividend income. You would pay tax in your country of residence, but if you choose wisely there might be none payable. An example of this is if you are NHR resident in Portugal you don't pay tax on UK dividends in the UK or in Portugal for the first 10 years!
21:11 PM, 8th December 2020, About 3 years ago
With reference to the above example if I loan £50,000 to a new limited company in order for it to be used as a deposit to purchase a buy to let property is the repayment of my loan pre or post corporation tax ???
22:12 PM, 8th December 2020, About 3 years ago
Hello all - these are all superb points. Darren, I completely agree with you re the advantages of the company route. In fact some of our portfolio is already in the LTD company. Having seen Mark's video, the long term strategy is to push all the personal owned ones into the ltd company.
At the moment, there are deals available due to Covid but the Ltd Co mortgage market for Single let vanilla flats/ houses isnt as competitive as it is on the personal front.
But I get the flexibility point and quite likely that personal name landlords and middle class income earners are likely to be clobbered with changing tax regimes in the next few years.
Mark Alexander - Founder of Property118
7:17 AM, 9th December 2020, About 3 years ago
Reply to the comment left by John Spring at 08/12/2020 - 21:11
The repayments come out of post tax profits. Interest is pre-tax.
8:42 AM, 12th December 2020, About 3 years ago
Reply to the comment left by Mark Alexander at 08/12/2020 - 12:22
Morning mark very interesting what you say , I presume a husband and wife who are directors off company’s or children who are directors each can receive 5000 tax free
Mark Alexander - Founder of Property118
8:47 AM, 12th December 2020, About 3 years ago
Reply to the comment left by paul thomason at 12/12/2020 - 08:42
All adults receive these allowances, they do not need to be Directors of a company to do so.
9:12 AM, 12th December 2020, About 3 years ago