Getting Started in Property

JakeHyde

user1977 said:

JakeHyde said:

All these American 'Gurus' talking about leveraging good debt etc, and how rich people never pay tax etc. Sounds so amazing-ly complicated!😖

Different economy, different taxes, and likely to be snake-oil nonsense even for Americans.

Snake oil does spring to mind.

JakeHyde

ManuelG said:

If you don't own your own house to live in, use your inheritance to buy your own house. I assume it means you'll have a reasonable deposit as a result, so you'll have a relatively small mortage (if any) so you'll save on the rent you're paying now. Put the money you would be paying on rent away as investment.

If you want a challenge, buy a house to fix up. If you can do basic DIY, painting etc then that will save you costs for workmen, and you'll end up with the house as you want it, it'll really be yours. Be aware however that whatever you think it might cost to fix up, double it... and add some extra on that for good measure(!) I wish Homes Under the Hammer would show more where it doesn't work out with a nice fat profit... but if it's yours to live in as long as you break even once done on value vs investment, then you've got the sense of achievement too.

Actually, as I've written that it sounds tough, so I'd just focus on getting your own house

Oww yeah, I'd love Homes under the Hammer to be more in-depth, instead of magically coming back to the finished property 6 months later, I also want to know about their problems and resolutions.

I consider myself to be creative, but when presented with an empty shell of a property, I can't for the life of me see the vision of the finished product. It could be my lack of experience, maybe.  I've seen a few nifty AI apps that can design a home for you when you take a photo of the empty room. Very impressive, but I can't remember the name of the app.

JakeHyde

Albermarle said:

 and a Cash L-ISA.  I'm too old to make any kind of new L-ISA, so stuck with the cash version.

IN theory you should be able to transfer a cash LISA to a S&S LISA, even if you are over 40. However in practice the handful of S&S LISA providers seemed unwilling to accept the transfer.

I think though that now A J Bell ( and their low cost version DODL) will accept them.

 I think the max I can stick in a SIPP is like £3600, am I right?   

If you have no earnings, then the max you can add is £2880 and the pension provider will add £720 tax relief.

Thanks Albermarle, It looks like it could actually be possible with AJ Bell. So hopefully others might follow suit.  I'm lookin' at you InvestEngine!

AJ Bell says:

Can I open a Lifetime ISA after 40?

If you’re already an AJ Bell customer (with any type of account), you can open a Lifetime ISA over 40 if you’re going to transfer in a LISA you hold elsewhere. Once that transfer is complete, you’ll be able to pay into your new Lifetime ISA until you turn 50. And as usual, we’ll claim your 25% bonus for you on what you pay in. Just remember the usual annual LISA limit of £4,000 per year will apply.

If you've already turned 40 and haven't already opened a Lifetime ISA elsewhere, or you don’t already hold another account type with us, it isn't possible to open and pay into a new Lifetime ISA account with AJ Bell.