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Investing £250,000

I'm selling-up and moving to rented accomodation for a year or so.

After selling my home, I'll have £250,000 and want to invest it safely but with reasonable access as I hope to purchase a property again in about a year's time.

What is the best option for maximum return?

Thank you...

Tonome

Comments

  • Ximian
    Ximian Posts: 711 Forumite
    Part of the Furniture 500 Posts Combo Breaker
    "Investing safely", there's always risk associated with investing. One year isn't that long to invest. Are you sure you want to invest or do you want to save? Since you want minimal risk and access to the money after a year I'm guessing that you want to save rather than invest. Are you willing to lose any of that 250k?
  • dunstonh
    dunstonh Posts: 120,910 Forumite
    Part of the Furniture 10,000 Posts Name Dropper Combo Breaker
    I concur with ximian. Investing here is not an option due to timescale and confused risk profile.

    Savings options seem most appropriate.
    I am an Independent Financial Adviser (IFA). The comments I make are just my opinion and are for discussion purposes only. They are not financial advice and you should not treat them as such. If you feel an area discussed may be relevant to you, then please seek advice from an Independent Financial Adviser local to you.
  • tonome
    tonome Posts: 69 Forumite
    Sorry guys - I meant "save" NOT "invest"!

    I thought saving also a type of investment but the name of this forum should have given me a clue when wording my question.

    So - After selling my home, I'll have £250,000 and want to place it in a savings account but with reasonable access as I hope to purchase a property again in about a year's time.

    What is the best "savings" option please for maximum return?

    Thank you...

    Tonome
  • maritp
    maritp Posts: 1 Newbie
    I am in exactly the same position with an identicle sum, did you ever get a good steer on the best way to save?

    Thanks
  • freddysmith
    freddysmith Posts: 2,002 Forumite
    Part of the Furniture 1,000 Posts Combo Breaker
    You should be able to achive £17500 gross interest just using a 1yr fixed rate at 7%. Difficult to know if anyone could get a maximum return without knowing what the future interest rates are going to be.
  • dubaiscot
    dubaiscot Posts: 22 Forumite
    A word of caution - if you place all the 250K in one account only the first 35k is protected by the bank - anything above this you risk losing in the unlikely event of the bank folding etc.
  • tradetime
    tradetime Posts: 3,200 Forumite
    With that sum of money, to be as "safe" as you can be you would be looking at 6 to 7 savings accounts, if absolutely sure you will not need access to the money until you look to buy in a year then ideally mainly fixed rate, as these guarantee the best interest return over the period. ISA first then normal accounts.
    Hope for the best.....Plan for the worst!

    "Never in the history of the world has there been a situation so bad that the government can't make it worse." Unknown
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