best way to invest ~£110k

DinosaursAreReal

Hi all, I've created this account to hopefully get some advice about a large sum of money I will be receiving. I will try to include as much relevant information as possible.

We currently rent and my husband earns ~26k. I'm not working at the moment but am actively job hunting as my youngest starts nursery soon. We currently have about £10k of our own savings.

My question is that I'll be receiving some money soon and am not sure the best way to invest it. A house/property would be ideal but with our wages, it seems that no one would lend us money even with a massive deposit. Buy-to-let would be an option but it still seems impossible we'd get anything. We live in the south East in one of the most expensive cities in the UK. Moving isn't an option. Any advice on this would be appreciated.

Apart from property, is there any worthwhile investments we could deposit our money into and watch it grow to build a bigger deposit and hopefully I'll be working again by then so a in a better position to buy our own home.

How would you invest this amount of money?

Thanks for reading.

xylophone

You might consider holding the money in cash using high interest current accounts until you return to work, presumably in the new year.

Once you know what your salary will be, and have worked your probationary period, you might look into whether a mortgage would then be a possibility?

Archi_Bald

If you are planning to buy, you should both consider the HTB ISA. Halifax pays the best interest.

Rest can be distributed across various interest earning current accounts and regular savers.

If you are not planning to buy, you should consider putting some of the money into pensions for each of you, and also a JISA for your child.

kidmugsy

The tax advantages of owner occupation remain good: that BTL has been so lucrative may be ending as it has attracted the attention of tax-seeking politicians.

If you felt immensely brave I suppose you could plunge much of the money into investments that you'd expect to rise if house prices continue to rise in your area e.g. house builders who do a lot of business there.

Eco_Miser

DinosaursAreReal wrote: »

A house/property would be ideal but with our wages, it seems that no one would lend us money even with a massive deposit. Buy-to-let would be an option but it still seems impossible we'd get anything.

If you can't buy-to-live-in you can't buy-to-let.

A couple can get around £130k into current accounts, sole and joint, paying 3% or more, plus more into Regular Saver/Monthly Saver accounts paying over 4%.
See https://forums.moneysavingexpert.com/discussion/5374614 for a summary.

Don't forget a Halifax Help To Buy ISA each if you qualify.