Where would you invest £200k and why?

[Scrambler]

Someone mentioned on the other thread that you need more like £200k to have some really good investment opportunities.
Well somehow my small arable farm has managed to build up this amount of cash reserves.
We are planning to spend around £50k of it on improving the farm house.
We have considered buy to let, but we already have a couple of terrace houses that bring in around £18k/yr and we are not sure if it is wise to have more of the same.
All advice welcome.

 

[kill]

Set up a contracting business and work day and night when demand suits?

 

[Chae1]

Buy a new Fendt!

Well done for building up all that money it's not easy. We've just got a massive overdraft.

 

[Muddyboots]

I would do another buy to let, its alot easier to farm houses than land these days.

 

[franklin]

Sad to say that, outside your own business, the best place for a pile of cash is in houses. Or failing that, get yourself some property that you can also enjoy - so consider a flat at the seaside that you can let out, but also use if you fancy a week on the coast. Or somewhere nice in France. Or even your future retirement bungalow while you have the cash to hand. Not impying you should move in to it now, but find the right spot for yourself for the future.

 

[spin cycle]

i don't know why you're asking us lot......you should be telling us

 

[chickens and wheat]

whack some in a pension?

 

[milkloss]

I'd buy a few flats somewhere. I am currently thinking of liberating some funds to do the same.

 

[Zippy768]

Another vote for houses/flats

 

[Chasingmytail]

2 bed modern semi in popular locations. I see so many requests for people looking to rent these. You'd be squeezed to buy 2 though.

 

[multi power]

Buy some land and or some classic tractors

 

[Chasingmytail]

Like us if you havent a pension I think property is the only safe way to bring a good income as £18k a year isnt going to go far you need to double it. Any investment in making a home warmer and more pleasant is priority to me.

Being more self sufficient will bring outgoings down ie solar system, battery bank, wood burner & RHI. If you are interested in prepping then polytunnel and kitchen garden. Edible flower business (seasonal). Def plan for future energy black outs or serious weather changes.

 

[Scrambler]

Buy to let is an obvious one I guess. Like I said, we have two that are let to students and bring a good return but I feel I don't want to rely too much an that market.
A holiday home could be an option. We've discounted that in the past as we generally don't go back to the same place twice.
A pension. Mmmmm, I don't have a pension. Well I do have a small pension but it has been such a poor performer over the years that it has put me off handing over control of my money to "expert" traders.

 

[Daniel]

Question for the brains trust.

Our house is owned by the business, can we then go and buy a house as an investment with a first time buyers mortgage, given we would rent it out, or would it have to be a buy to let mortgage?

 

[Chasingmytail]

dont think so as the money would be secured on the business otherwise every business would be doing it for tax. It would be a standard buy to let.

 

[Daniel]

dont think so as the money would be secured on the business otherwise every business would be doing it for tax. It would be a standard buy to let.

Sorry, wasn't clear enough, my wife and I would be buying the rental property as a private investment.

 

[Chasingmytail]

Buy to let is an obvious one I guess. Like I said, we have two that are let to students and bring a good return but I feel I don't want to rely too much an that market.
A holiday home could be an option. We've discounted that in the past as we generally don't go back to the same place twice.
A pension. Mmmmm, I don't have a pension. Well I do have a small pension but it has been such a poor performer over the years that it has put me off handing over control of my money to "expert" traders.

My brother owns 5 static caravans on a lively site makes a good return but unsure whether it would be as good as a holiday cottage.

 

[bobk]

Sorry, wasn't clear enough, my wife and I would be buying the rental property as a private investment.

Doesn't matter , and you're paying 8% stamp duty if you own more than one property

 

[Daniel]

Doesn't matter , and you're paying 8% stamp duty if you own more than one property

Its not our second home though?

 

[Chasingmytail]

Sorry, wasn't clear enough, my wife and I would be buying the rental property as a private investment.

Ok I see - I would say its fraud. You must inform your lender you are renting out a mortgaged property (Squatters rights etc) and seeing you are getting special rates then the lender could add additional fees and change the status of the loan (buy to let). You would also have to inform the insurance company of the property is rental. I am unsure whether this is more.