I own a flat which is tenanted at £1,700 a month. At the moment it is on an interest only mortgage (£800 per month). Given the new interest relief restrictions is it worth moving to a capital repayment mortgage? I intend to keep the property and not sell (unless circumstances change drastically). What other options can I consider?

Arthur Weller replies:
It is definitely to your advantage to pay off your mortgage debt as soon as you can. However, you should be aware that these new rules only affect someone whose gross rental income (after deducting other allowable expenses, besides interest) takes them over the higher rate tax threshold, currently £45,000. If you have a spouse who pays tax at a lower rate than you do, maybe you want to consider gifting them part of your property, so that they receive some of the rental income