Completion Date & Where to put sell proceeds from BTL which is over the FSCS limit

20122013

I am in the process of selling my BTL and ‘The chain would like to complete on the <xxx date>.’ within the next few weeks.

I would like to check  whether  there is anything else I need to do before the simultaneous  Exchange and Completion?  As far as I know, I just need to give the go ahead to my solicitor and they will do the rest?

But what about paying off my mortgage, council tax and utilities etc? For my mortgage  I am thinking about these options:

As I have a fully offset mortgage, would it be easier for me to

1. pay this off using my offset account so there is no mortgage on the property or will this delay things. The lender says this will take 2 days to do but then I am thinking whether there will be additional paper work for my solicitor to cross check ?

2. If my solicitor pays off my mortgage with the sell proceeds (then the money in my offset account will remain and it pays 0.1% interest. As I will not be able to do transfer it out for some months, hence I am thinking of option '1'.

Also, I am unable to find where I can temporary (3 months) park the proceed from the sell (over £85K)

Added : Where to put sell proceeds from BTL for a few months which is over FSCS limit)

CGT needs to be paid and filed within 60 days of completion, correct?

Emmia

You can take advantage of the temporary high balance protection for the monies over £85k up to £1million

https://www.fscs.org.uk/making-a-claim/claims-process/temporary-high-balances/

bobster2

Emmia said:

You can take advantage of the temporary high balance protection for the monies over £85k up to £1million

https://www.fscs.org.uk/making-a-claim/claims-process/temporary-high-balances/

Not for a BTL they can't. Need to be selling their main residence. In bold on that page...

"Proceeds from second homes or buy-to-let properties are not covered"

Albermarle

Added : Where to put sell proceeds from BTL for a few months which is over FSCS limit)

Either use more than one savings account, or put it in a NS&I account ( no compensation limit ) 

20122013

NS&I will be my first option but do they cover BTL proceeds, too? 

If not, I will split the proceeds over a few days.

user1977

20122013 said:

NS&I will be my first option but do they cover BTL proceeds, too? 

National Savings are "covered" in the sense that they're the government, so are (hopefully) the last people to go bust.

20122013

user1977 said:

20122013 said:

NS&I will be my first option but do they cover BTL proceeds, too? 

National Savings are "covered" in the sense that they're the government, so are (hopefully) the last people to go bust.

I see, but will it cover BTL (Buy to let)?  

user1977

20122013 said:

user1977 said:

20122013 said:

NS&I will be my first option but do they cover BTL proceeds, too? 

National Savings are "covered" in the sense that they're the government, so are (hopefully) the last people to go bust.

I see, but will it cover BTL (Buy to let)?  

I don't think you do see! It makes no difference where your money has come from.

Albermarle

20122013 said:

user1977 said:

20122013 said:

NS&I will be my first option but do they cover BTL proceeds, too? 

National Savings are "covered" in the sense that they're the government, so are (hopefully) the last people to go bust.

I see, but will it cover BTL (Buy to let)?  

The source of the money is irrelevant. If you put money in a NS&I account it is safe regardless of where the money comes from.

20122013

Albermarle said:

20122013 said:

user1977 said:

20122013 said:

NS&I will be my first option but do they cover BTL proceeds, too? 

National Savings are "covered" in the sense that they're the government, so are (hopefully) the last people to go bust.

I see, but will it cover BTL (Buy to let)?  

The source of the money is irrelevant. If you put money in a NS&I account it is safe regardless of where the money comes from.

"Proceeds from second homes or buy-to-let properties are not covered"

user1977

20122013 said:

Albermarle said:

20122013 said:

user1977 said:

20122013 said:

NS&I will be my first option but do they cover BTL proceeds, too? 

National Savings are "covered" in the sense that they're the government, so are (hopefully) the last people to go bust.

I see, but will it cover BTL (Buy to let)?  

The source of the money is irrelevant. If you put money in a NS&I account it is safe regardless of where the money comes from.

"Proceeds from second homes or buy-to-let properties are not covered"

That's a comment about banks or building societies covered by FSCS in the event they fail. Like I said above, National Savings is the government, it ain't going to "go bust".