Investing or Saving

I am 29 years old have a joint mortgage with my partner of which I still owe around 80,000 and he owes 30,000. I also have an isa containing 12,000 and earn roughly 1,000 a month. My partner wants to get a second mortgage though to buy a property to rent out using my ISA money as part of the deposit, is this not risky?. I don't want to lose my savings or have little as back up should I end up out of work.

Also I was wondering are there any small ways of investing just a couple of 100 to earn some more interest. Apart from my ISA I do have a second account containing a couple of hundred to pay for driving lessons. I have no pension and as my parents were always bad with money I am always worried about not having any.

What is the best way of making money with minimal risk?

Comments

  • mthanry
    mthanry Posts: 27 Forumite
    Hi,

    I personally think that when it comes to getting interest from your money, the smaller the risk, the smaller the interest.

    From my experience, property can be a good investment but don't forget essential questions before that:
    - is it a good time to buy (is the market in a low)?
    - for how long can afford paying the mortgage if you loose your job and have no tennent (you also have to consider the worst case-scenario)?
    - how easy is it to find tennents?
    … and so on…

    plus other considerations such as that you can easily withdraw money from your ISA, not from a property; a propery might worth less in 2 years than it may in 10 years.

    Michael
This discussion has been closed.
Meet your Ambassadors

🚀 Getting Started

Hi new member!

Our Getting Started Guide will help you get the most out of the Forum

Categories

  • All Categories
  • 349.6K Banking & Borrowing
  • 252.6K Reduce Debt & Boost Income
  • 452.9K Spending & Discounts
  • 242.6K Work, Benefits & Business
  • 619.3K Mortgages, Homes & Bills
  • 176.3K Life & Family
  • 255.5K Travel & Transport
  • 1.5M Hobbies & Leisure
  • 16.1K Discuss & Feedback
  • 15.1K Coronavirus Support Boards

Is this how you want to be seen?

We see you are using a default avatar. It takes only a few seconds to pick a picture.