Q: I have become a GP partner. The senior partner is due to retire and I have the option of buying her share of the property. At present, all the partners have individual mortgages through one lender.
I was planning to take a loan from my parents to fund the purchase and repay them over a defined period.
Would this affect the rent reimbursement we receive and can I claim tax relief on the interest payments on such a loan?
How do I set up a loan contract that would fulfil any legal and tax requirements?