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Advice on best use of cash...

Hi

I'm in the fortunate position of being able to release net ~200k from an existing property in London (via remortgaging). I'm looking to buy an additional house with my wife in London.

We could afford something for up to 750k, but could also obviously get something for much less-so I'm undecided on whether we need to splurge and put all of this towards a new place or buy a less expensive place and invest the remainder elsewhere i.e a fproperty/development with some growth potential over a period of ~5 years.

I guess the question is what are people's thoughts on what the best 'mix' might be in terms of maximising growth i.e. 1.cash in and buy for as much as we can afford, 2. buy a house needing some work and use the cash to develop, 3. buy a relatively cheap house needing no work and invest elsewhere....

Thanks in advance
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