I've inherited some money, what to do?

[Dap]

If you are in tied property that you have to live in for your job you can get a standard mortgage with instant consent to let. Not all mortgage company do offer this, we got our though NatWest and have got a fixed 3 year interest rate the same as if it was to live in it. Standard deposit too. Hope this helps

 

[lazy farmer]

13 amazon shares and have a good weekend away with the rest.

 

[puppet]

barstewards

Their logo stated 'rock solid'. Still managed to turn £1000 into £200.
I wrote and told them it was the best example of an oxymoron I had seen and would have been better giving the money to someone in the pub as at least I knew they would have some pleasure from it.
Made me feel better for 5 minutes.

 

[BobTheSmallholder]

Read these websites before you do anything silly...

http://www.mrmoneymustache.com/

http://monevator.com/

http://blog.p2pmoney.co.uk/

http://earlyretirementextreme.com/

 

[Walterp]

You cannot rent out a house which is financed through a standard residential mortgage. There will be a covenant in the agreement which stipulates you must reside in the property as your primary residence.

Buying it and then letting it to someone else without converting to a BTL mortgage would be fraudulent.

This isn't how it works in practice - ordinary mortgage covenants prohibit letting, which is roughly your understanding, but this problem is widely addressed in two ways:

1. apply for the mortgagee's consent - this is normally given unless there is (as you say) some evidence of improper conduct. People move jobs, etc all the time, and may wish to rent their house out rather than leave it empty;

2. JFDI, which many people do, wishing to avoid the surcharge that the mortgagee can apply in 1.

Don't do 2.

It's not so much that fraud is involved (it isn't, if an isolated instance) but that the house insurance is invalidated - a much more serious problem, if the house burns down and the insurer discovers that it was tenanted when it was supposed to be owner/occupied..

It'll be interesting, when the BTL bubble bursts, to see just how many fiddles people have got up to. (It is the one area of practice that would interest me enough to go back - this probably says a lot about me, but I can't figure out what).

On the OP, just put the money in a Building Society until he needs it. Which he will, soon enough.

 

[simmy_bull]

Been not so lucky for our family.Got £1000 and won£50 in 14years....

What was the interest rate 14 years ago? £1000 @ 0.5% is only a fiver a year in interest. £50 every ten years I suppose!!

 

[joe soapy]

Why won’t 20k pay a deposit my first house was £120000 and I only needed 6 grand for the deposit ?!

have you ever bought a house ? first time buyers isa is dam good deal

 

[joe soapy]

Just buy a house to live in the mortgage will proberly be cheaper than your rent

no, buy and let and rent

 

[joe soapy]

Fast cars & fast women!!......not that 20 grand will go far.

On a serious note, I agree with seeing to world though, there's a big wide world out there, go see it....
We're here for a good time, not a long time!!!

that should be self funding, harvest south hemisphere, the back up through the states

 

[glasshouse]

buy 200 ewes

 

[joe soapy]

You cannot rent out a house which is financed through a standard residential mortgage. There will be a covenant in the agreement which stipulates you must reside in the property as your primary residence.

Buying it and then letting it to someone else without converting to a BTL mortgage would be fraudulent.

not now i think, the rules have changed recently

 

[joe soapy]

If you are in tied property that you have to live in for your job you can get a standard mortgage with instant consent to let. Not all mortgage company do offer this, we got our though NatWest and have got a fixed 3 year interest rate the same as if it was to live in it. Standard deposit too. Hope this helps

got a quote here, 5 years 2%, 10 a tiny bit more

 

[Cowabunga]

Get asvice from a ‘wealth manager’ but try a couple. Not sure if you have enough capital for their more potentially profitable funds and they will need to prepare a fairly comprehensive report for you according to your circumstances. To get into some funds you may need to pay up to 3.5% of your investment as a fee.
Remember that buy to let has burdens such as tenants, plus capital gains tax on a sale profit.

Everyone’s circumstances, ambitions and expectations are different, hence the need for good advice.

 

[nelly55]

One of my better investments is a buy to let.

£15k down on a £65k house, plus £6k repairs. Mortgage is just over £200/month and tenant paying £550/month rent. Money back in 3-4 years (minus tax & maintenance) plus a £95k house in 25 years time all paid for.

Remember you get good tenants as well as bad,in 18 years I’ve had 2 bad in 18 months it had to happen.

 

[cornishfarmer]

Have premium bonds and they have returned less than 1% in the 5 years I’ve had them. Maybe worth lookIng into pier to pier lending. Think Folk2folk were in farmers weekly the other day. minimum £25k investment. Return 6.5%. So get £135 return per month.
Pm me of want any further info. Have money in but no affiliation to them

 

[Bossfarmer]

buy 200 ewes

much better return to be fair

 

[Still Farming]

much better return to be fair

Buying work

 

[Bossfarmer]

Buying work

not that much work with 200 ewes just a few weeks at lambing time

 

[Bossfarmer]

Buying work

if you make £40 profit per ewe thats 8k or £666/month income from 20k investment, not the worst

 

[fgc325j]

buy 200 ewes

Has he got any land ???