Wilsons Selling Up. The Lot. All 700 Houses.

Harry_Powell

SilverStandard wrote: »

Does anyone know the cap gains they will be liable for?

The property business will be held within a limited company structure and hence the capital gains will be zero. Any profits made from the houses will be subject to corporation tax, though with the sort of money involved I wouldn't be surprised if the company was offshored. There might be no tax to pay at all.

PasturesNew

Harry_Powell wrote: »

The property business will be held within a limited company structure and hence the capital gains will be zero. Any profits made from the houses will be subject to corporation tax, though with the sort of money involved I wouldn't be surprised if the company was offshored. There might be no tax to pay at all.

That's just so wrong isn't it. These are British people, who grew up in Britain, worked in Brtitain, bought out a whole British town, taking rent from British people (many getting income from the British benefits system), they lived in Britain, had their family in Britain .... yet the company is offshored so they don't pay tax that British people would have.

It's just wrong. It might be legal, but the whole tax system of being rich sucks.

puddy

i found something interesting today, for the last year+ i have been looking at properties in the area we now live and still have a browse from time to time and i noticed today that whereas in the previous year or so, new conversions were being put up for sale as individual pieces, now there are a lot of newly converted 'blocks' for sale as whole pieces, ie a block of 19 flats all newly converted. it seems to me that developers may realise that there arent the buyers out there for flats so they are conciously looking for big time landlords to buy the whole lot.

fc123

dopester wrote: »

Ever more of the older baby-boomers at the mid to top end will be looking to downsize.. and wanting to cash-in for their pensions. They just need a jolt.
There isn't enough younger upsizing money around to support these crazy asking prices.

OK a bit of anecdotal (cos I do like a bit of anecdotal in the evening:D)

The above is really sinking in I think.

I live in a pricey St. (well, pricey compared the house I own in to SE London) and it is a mix of architectural styles. One side has an Edwardian strip of large semis (5 bed type) and they are now, mostly, flats.
Along a bit and on my side are an assortment of houses that were built from 1929 onwards as the plots of land were sold back in 1927.

Some have been flattened and rebuilt edge to edge of their boundaries and rebuilds dating from 1950's to recently. The rebuilds are all pretty sizeable 5/6 beds etc....one huge Lutyens house has been totally mullered and carved up into 4 units though.

Now, not being a chatty type or anything , I now know a lot of my neighbours (despite being 'A Tenant' on the St) and there are only 3 families with kids on my side of the St out of about 25 units.
One is a family home owned by the grandparents, 2 are rented, us and a large flat at the other end....and I don't count really as DD is 15 and we live in, technically, a 1 bed cottage...the smallest house on the whole St.

Opposite, several families with young kids all in 2 bed converted flats.
Oh, and the squatters who are very neighbourly too.

I was chatting to my property developing neighbour, who maxed out the boom as he had 'equity' about my dear neighbour who is very unwell. 83 odd and now in hospital, unlikely to return. Who will buy her house?

None of the families can afford it...we guessed 800k.

We concluded that the only people who can afford the 800k - £1 million houses are the ones that already own them. The generation below (mine) cannot afford to trade up.


So, without wanting to sound all commnunist, the bulk of the space on my St is inhabited by retired couples or singles (in 6+ bed houses).

I haven't concluded anything but when this 'big house' generation die and the houses are passed down (less taxes), that is when things may level out a bit.....so, could be 15 years or so.

mewbie_2

fc123 wrote: »

We concluded that the only people who can afford the 800k - £1 million houses are the ones that already own them. The generation below (mine) cannot afford to trade up.

And those people mostly could not afford to buy them if they started again. That's why HPI cannot go on for ever.

fc123

mewbie wrote: »

And those people mostly could not afford to buy them if they started again. That's why HPI cannot go on for ever.

I'm trying to cheer DS up a bit as the Wilsons and all they symbolise upsets him quite a bit.

The inheritance tax take will also have a big impact. My dads place would have a whole chunk taken away in tax so he doesn't pass down the 'value of a house' but far less....say half a house.

Snag is, it's going to take a few years. What has just passed (recent drops) is like the fruit garnish off the top of the pudding.

FungusFighter

fc123 wrote: »

I'm trying to cheer DS up a bit as the Wilsons and all they symbolise upsets him quite a bit.

The inheritance tax take will also have a big impact. My dads place would have a whole chunk taken away in tax so he doesn't pass down the 'value of a house' but far less....say half a house.

Snag is, it's going to take a few years. What has just passed (recent drops) is like the fruit garnish off the top of the pudding.

Hiya Fc, hope you've been pampering Mr Ginger today:D