£400k cash but no home or job....?

atush

Id buy a 2 bed house or flat for 200K to live in, put 200K into the bank (and s&s isas, reg savers etc), and then i'd get a job.

BananaRepublic

The answer depends on personal circumstances. Are you young, or older with commitments such as nearby children you wish to avoid? Are your job skills in demand across most of the UK or just in one area? Have you ever managed a rental property, including annoying tenants who might trash the place, and calls to repair the heating at four in the morning? Do you mind where you live and the nature of the property e.g. one bed flat in a scruffy area or a three bed detached house with garden in a nice area?

My own situation is not so different from yours except that I own my own house so my realisable non pension assets are close to a million pounds rather than £400,000. However, I decided that I want to live in a nice detached house in a nice area. I also don’t want a lodger as they might damage my quartz worktops, my carpets and so on. I don’t want to deal with tenants, and BTL is now much less lucrative than it was. House price inflation has stalled, and tax advantages are being greatly reduced. So I have shoved my spare money into a SIPP and ISA funds. Over the last year or two it has grown by £100,000. And my house has gone up in value by one third, with no CGT to pay on any sale. Early retirement beckons and I wave back at her with a smile on my wrinkly face.

atush wrote: »

Id buy a 2 bed house or flat for 200K to live in, put 200K into the bank (and s&s isas, reg savers etc), and then i'd get a job.

Buys house. Finds the perfect job. Oops, Job is too far to travel comfortably. Damn damn and damn. Takes bad job and in the evenings sits at home fuming.