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Lifetime ISA vs property investing
Jae14
Posts: 11 Forumite
Hi,
The interest paid overtime on mortgages makes me feel sick. I have £10000 already in my LISA but I am planning on going self-employed from Jan so I need to make a decision r.e. housing now (i.e. get a mortgage or move in with the rents for a few years). In the longer term (e.g. around 5 years), am I financially better at continuing with LISA savings (£4000/yr with the £1000 bonus plus interest) or would I be better off investing in property now with inflation and getting my own place? If not investing in property, I would be trying to work up to £20000 savings in the highest available normal savings account over several years so that I could use the £1000 tax free interest to feed back into the LISA so I'd eventually only have to contribute £3000 per year to max the benefits from the LISA - all depending on the interest rate fluctuation ofcourse. I am not sure if this is a good approach, or a stupid approach in the long term?
The interest paid overtime on mortgages makes me feel sick. I have £10000 already in my LISA but I am planning on going self-employed from Jan so I need to make a decision r.e. housing now (i.e. get a mortgage or move in with the rents for a few years). In the longer term (e.g. around 5 years), am I financially better at continuing with LISA savings (£4000/yr with the £1000 bonus plus interest) or would I be better off investing in property now with inflation and getting my own place? If not investing in property, I would be trying to work up to £20000 savings in the highest available normal savings account over several years so that I could use the £1000 tax free interest to feed back into the LISA so I'd eventually only have to contribute £3000 per year to max the benefits from the LISA - all depending on the interest rate fluctuation ofcourse. I am not sure if this is a good approach, or a stupid approach in the long term?
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Duplicate thread here: https://forums.moneysavingexpert.com/discussion/6501421/property-investing-vs-lifetime-isa1
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