Quote Originally Posted by Harvey Specter View Post
Its not the Tax System!!! Its the banking system which allows for much lower interest rates for property.

I have debt secured over shares and it is treated exactly the same as debt secured over property, the only difference is the interest rate is 1.2% higher and the loan to value is much lower (and not even allowed on some shares).
That's true. The capital that banks are required to hold in respect of their loans for property is much lower than that required for loans for "riskier" purposes. Makes sense - except perhaps when property bubbles develop!