Keeping it short, thinking about buying a buy to let property, waiting to see what's in the budget but the 5% deposit mortgage and government backed thats rumoured seems good, I will be classed as a first time buyer as have never bought a house before, as my house belongs to the business. So does the tff collective think it's a good time to buy ? Money's cheap to borrow and not really wanting to put stuff in a pension that could be worthless by the time I retire !
Good time to buy
- Thread starter Landrover
- Start date
- Location
- fakenham-norfolk
Get it sorted.Rental income has not gone down.Money is cheap,now is the time for you.
- Location
- Bay of Plenty NZ
I’ve heard that countless times since I bought my first house for £25,000 40 years ago, there have been some minor corrections, these have re corrected in a short space of time. @Landrover just buy it.
Didn't think you were that old .
- Location
- Bay of Plenty NZ
Why?
Thought you were mid 40's
Can't go wrong buying property. Can go wrong renting it out to idiots.
- Location
- Scottish Highlands
How old are you? If you’re anything over 45 I wouldn’t be doing anything other than a pension fund. I’m piling as much as I can into my pension, aiming for the £1.1M fund value before I reach the age when I can retire. It all goes in tax free and will come back out tax free too. Money in there at the moment is making 10-11% compounded, which is way above what a BTL would make.
And should do better now we're on the right side of the virus
I will correct you on the tax free out statement , unless you know something I don't
- Location
- Scottish Highlands
You’re right - I should have written can come out tax free, rather than will do.
25% out in a lump sum and then the rest can be bled out as and when you have any spare tax allowance - or left to your heir in a shelter from inheritance tax.
Never thought of leaving to anyone
- Location
- Scottish Highlands
I live a frugal lifestyle.
I really can’t see me managing to spend it all, if it keeps growing at the rate it is.
It's a nice problem to have , be hoped Ricci doesn't change the rules
- Location
- Limousin
A lot of empty rental flats in the cities atm.
- Location
- Bay of Plenty NZ
Thank you.
serf
Member
- Location
- warwickshire
This will be for first private residence not for a BTL , the gov are trying to discourage rental market with their policies nowadays.
toquark
Member
If you can get a place at the right price, there’s never been and probably never will be a better time to borrow.
25% of withdrawn amount is tax free, Didnt think you could take out just the 25%, but may be wrong.
- Location
- Scottish Highlands
You are. Pay in £1M from your company/ employment and you’ll pay no tax/ get tax relief to get. Get to correct age (57 for me, yours may vary) and you can take £250k as a tax free lump sum. Then bleed the rest out at whatever marginal rate you’re on.
Means that your profits or wages can go from employer to wallet with no tax, NI etc.
Saves tax, NI, etc getting the money in (so £10k into fund against maybe £6k in your wallet) too.