Financial advice....but non-specific!!

eyhorne

Hi all,

Not sure which catagory to put this under as I need some advice. I would like to find someone who can look at my whole financial picture and advise me what to do! All the websites ask you to specify, investments/property etc but I need a one-stop person to look at eveything. Do they exist?! 

We have been offered first refusal on our neighbour's house and are waiting for a probate vauation. We do have savings and only 1 year left on our mortgage, and we have a limited company so we are trying to find the best way forward to try and afford to buy this property and either let it out long term or Air B and B. On doing some research, neihter of these options look too good at the moment, but we've been looking to do this for years as my hubby is a builder so we have all the tools and knowledge for that bit, but not the raising finance bit/tax implications/CGT/200% council tax etcetc We are going to speak to Buildstore to see what options they have, but would like to see if can find a person make some suggestions based on our situation! Hope this makes sense - any ideas of where to go?! TIA

leosayer

That's the job of an IFA.

Keep_pedalling

leosayer said:

That's the job of an IFA.

I don’t think an IFA is appropriate for someone wanting to become a landlord. As a starting point I would suggest the OP posts over on the House buying and renting board, where they will get advice from landlords and ex landlords about the wisdom or otherwise of becoming a landlord.

If they don’t already have any experience in this it is not something to be taken on lightly. 

Uriziel

You can ask here but I would not label anything as financial advise as nobody wants to be accountable if anything does not go well.

eskbanker

eyhorne said:

we are trying to find the best way forward to try and afford to buy this property and either let it out long term or Air B and B. On doing some research, neihter of these options look too good at the moment, but we've been looking to do this for years as my hubby is a builder so we have all the tools and knowledge for that bit

If neither long term or short term letting look too good, why go ahead at all?  I'm conscious that builders will often have good networks of other tradespeople but on the face of it there's generally little building work as such involved in renting out a property....

DRS1

Don't do it.

It is the house next door.  If you get the tenants from hell then they are also going to be the neighbours from hell.

dunstonh

Not sure which catagory to put this under as I need some advice. I would like to find someone who can look at my whole financial picture and advise me what to do! All the websites ask you to specify, investments/property etc but I need a one-stop person to look at eveything. Do they exist?! 

That part of your question would have an IFA as the answer.

We have been offered first refusal on our neighbour's house and are waiting for a probate vauation. We do have savings and only 1 year left on our mortgage, and we have a limited company so we are trying to find the best way forward to try and afford to buy this property and either let it out long term or Air B and B. On doing some research, neihter of these options look too good at the moment, but we've been looking to do this for years as my hubby is a builder so we have all the tools and knowledge for that bit, but not the raising finance bit/tax implications/CGT/200% council tax etcetc

That part of your scenario is more about a business proposition and not really what an IFA gets involved in.

However, if your husband, as a builder, cannot make that property purchase work without decent margin then the property is not worth considering.    The letting market is not the easy money it used to be an nowadays you have to be more selective on properties.  A builder would typically look for one that needs building work but is very cheap to buy and then use their own skills at low cost (without added margins) to bring it up to standard to let out or sell on.

boingy

DRS1 said:

Don't do it.

It is the house next door.  If you get the tenants from hell then they are also going to be the neighbours from hell.

That was exactly my thought too. 

Sg28

DRS1 said:

Don't do it.

It is the house next door.  If you get the tenants from hell then they are also going to be the neighbours from hell.

Even if they are aren't tenants from hell they will be knocking on your door every time theres the smallest problem with something. 

silvercar

I’d suggest you need to see an accountant, IFAs are more concerned with investments.

If you decide it’s what you want to do then funding it could be any combination of remortgaging your existing home to borrow more money, taking money out of your limited company (via dividends/ income/ director’s loan), getting a mortgage on the new place. 

You will also need to decide if you want to own it personally or in the name of your limited company. The latter has tax advantages particularly if the property is mortgaged, though the mortgage itself may cost more depending on how you are funding it.