Letting property in Fulham
Fulham has a lot of rented homes. Victorian terraces in the Peterborough Estate and around Munster Road have been split into flats, and newer blocks have gone up around Sands End and Imperial Wharf. Many of the people renting them work in the City or the West End and want to be near the District line and the Overground. That demand has drawn in a wide range of landlords, from someone letting out a single flat after moving out of London to families with a dozen properties built up over decades.
Each of those landlords has different worries. Our ACCA qualified accountants spend time understanding your plans before we touch a tax return. Are you looking to grow, hold or sell? Do you own alone, with a partner or with family? The answers shape the advice you get.
Knowing what your properties actually earn
Rent coming in is not the same as profit. Agent fees, service charges, ground rent, repairs, insurance and mortgage costs all reduce what you keep. On residential lets, mortgage interest is no longer deducted from rental profit. Instead you get a tax credit at the basic rate, a rule often called Section 24. Higher rate landlords with large mortgages can find they pay tax on money they never saw.
We prepare a clear picture of each property, so you can see which ones pay their way and which ones do not. That makes it easier to decide whether to refinance, raise rents in line with the market, or sell a weaker property and put the money elsewhere.
What is included
- Annual rental accounts for each property
- Advice on personal or company ownership
- Reconciling letting agent statements
- Section 24 and finance cost calculations
- Making Tax Digital setup and quarterly updates
- Capital gains tax reporting within 60 days
- Portfolio reviews before buying or selling
- Inheritance tax planning for property owners
Personal ownership or a limited company
Many landlords now buy through a limited company. A company pays corporation tax on its profits and can deduct mortgage interest in full, which is why it appeals to higher rate taxpayers. But company mortgages are often more expensive, taking money out of the company creates more tax, and moving existing properties into a company can trigger capital gains tax and stamp duty land tax.
There is no single right answer. A landlord with one flat in Parsons Green and a basic rate income may be better off as they are. Someone building a portfolio to pass on to their children might look at a company or a family investment structure. We run the numbers for your situation, including what happens when you eventually sell or pass the properties on, and explain the trade offs plainly. You should also take legal and mortgage advice before making a change.
Working with your letting agent
If you use an agent in Fulham, Putney or Chelsea, they will usually send you monthly or annual statements. These are a good starting point but rarely tell the full story. Costs you pay directly, such as mortgage interest, service charges billed to you, or repairs you arranged yourself, will not appear on them.
We take your agent statements, add the costs you paid personally, and check nothing is counted twice. If you manage some properties yourself and leave others with an agent, we bring it all together in one set of records. Clean records also make life far easier if HMRC ever asks questions.
We are also happy to speak to your agent directly to get the paperwork we need, so you are not stuck in the middle chasing statements and invoices.
Changes landlords need to plan for
Making Tax Digital for Income Tax started on 6/4/2026 for landlords and sole traders with qualifying income over £50,000. It drops to £30,000 from 6/4/2027 and £20,000 from 6/4/2028. Qualifying income means your gross rents plus any self employed income, not your profit, so many Fulham landlords will be caught sooner than they expect. You will need compatible software and quarterly updates to HMRC.
The government has also announced separate, higher income tax rates for property income from 6/4/2027. If you rent out property in your own name, it is worth reviewing your plans now. We can help you set up software, move to quarterly updates and look at how the new rates affect your figures.
Selling or passing on property
When you sell a rental property, any capital gains tax due must be reported and paid within 60 days of completion. Fulham property bought years ago can carry a large gain, so it pays to plan the timing and check which costs reduce the gain. If you are thinking about passing property to children, inheritance tax and capital gains tax both come into play. We help you look at the whole picture before you act.
Who this suits
- Accidental landlords letting a former home in Fulham
- Landlords growing a buy to let portfolio across London
- Couples or families who own property together
- Landlords thinking about moving to a limited company
- Landlords with gross rents near the Making Tax Digital thresholds
Common questions
Is it better to own a buy to let in a limited company?
It can be for higher rate taxpayers who plan to keep profits in the business and grow a portfolio. It is often not worth it for one or two properties, especially once you count the cost of moving them. We compare both routes using your actual figures.
Do I need an accountant if my letting agent sends me a statement?
You do not have to have one, but agent statements usually miss costs you paid yourself, like mortgage interest and some repairs. An accountant makes sure everything is included and that your return matches your records.
When does Making Tax Digital apply to landlords?
From 6/4/2026 if your qualifying income is over £50,000, from 6/4/2027 if it is over £30,000, and from 6/4/2028 if it is over £20,000. Qualifying income is your total rent plus self employed income before expenses.
Can I still claim mortgage interest on a rental property?
For residential lets owned personally, you get a basic rate tax credit rather than a deduction. Companies can still deduct interest as a cost. We work out the credit and show you how it affects your bill.
What happens if I sell a rented flat in Fulham?
If there is capital gains tax to pay, you must report the sale and pay the tax within 60 days of completion. You then include it on your self assessment return too. We help you work out the gain and file both on time.
How do I transfer rental property into a limited company?
The company buys the property from you, which can create capital gains tax for you and stamp duty land tax for the company. Lenders also need to agree. We look at the tax side and work alongside your solicitor and broker.
Can I claim the cost of refurbishing a flat between tenants?
Repairs that restore the property to its previous condition, like redecorating or replacing a worn carpet, are usually allowed against rent. Improvements, such as an extension or a much better kitchen than before, are capital costs. They do not reduce your rental profit, but they can reduce the gain when you sell.