New House for commercial use

no_one

Hi,

Just a crazy thought, is it possible to buy a new house which we can use to live as well as run a small business like home bakery etc?
And if yes, then can some part of pension be used to do the deposit? 

davidmcn

It does sound fairly crazy, yes. Have you ever seen anybody doing something similar? That might answer your question.

no_one

davidmcn said:

It does sound fairly crazy, yes. Have you ever seen anybody doing something similar? That might answer your question.

lol .. thanks, was worth asking :-) 

ciderboy2009

If by "new house" you mean a new build house then it's highly unlikely to be possible as there will probably be a covanent against running a business from the property.
As for using the pension as the deposit - if you mean a lump sum you get when you take the pension then you can do what you like with that money.  If however you mean a future pension which you can't currently claim then no.

AdrianC

When you say "home bakery", do you mean just baking a few cakes in your domestic oven?

Of course you can. Lots of people do.

It shouldn't need change of use, but if you mean a new(ish)-build, then you'll need to check covenants. I presume you'd be wanting a signwritten small van or to signwrite your car - check there's nothing preventing that being parked at the property.

davidmcn

What are you actually aiming to do? If it's just "live and work on the same premises" then you're probably better to look for existing commercial premises with flats/houses attached. Would also help if you had a firmer idea of what sort of business you're wanting to run.

no_one

ciderboy2009 said:

If by "new house" you mean a new build house then it's highly unlikely to be possible as there will probably be a covanent against running a business from the property.
As for using the pension as the deposit - if you mean a lump sum you get when you take the pension then you can do what you like with that money.  If however you mean a future pension which you can't currently claim then no.

ah good to know about such covenant will keep an eye on it.
I mean using pension pot now while I am still at early 40's. I read that one can use it to buy commercial property hence the original question. 

davidmcn

A house with an ancillary business use isn't a "commercial property" for such purposes. Apart from covenants in anything remotely newbuild which will prevent it, you'd also need planning consent, which I doubt would be forthcoming in the middle of a new residential area.

thearchitect

You may wish to consider whether it would require planning permission and/or building warrant(regulations) approval.

no_one

waoo didn't expect all of these steps. So the obvious answer is no.
Thanks all for your valuable inputs.

thearchitect

Ity might work, to be fair, but what we're saying is that it requires a bit of legwork to find out.