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  • FIRST POST
    • Feetup
    • By Feetup 17th Mar 19, 9:12 PM
    • 4Posts
    • 1Thanks
    Feetup
    Retiring landlord
    • #1
    • 17th Mar 19, 9:12 PM
    Retiring landlord 17th Mar 19 at 9:12 PM
    I am a 62yr old retiring landlord with no dependents, looking to cash in my buy-to-let holdings, retire and do some travelling before the white van comes. Unfortunately that may not be too far off as health prognostics are not encouraging. I have asked half a dozen IFA's and several 'wealth managers' what to do with the proceeds and they all say give it to us and we'll give you 4% pa back. I'd like to know how I might proceed without them, given that I don't have any need to preserve the capital. Very grateful for your view.

    Current monthly household spend 1.5k
    Annual holidays 5.5k
    Monthly mortgage cost £600 on buy-to-lets

    Monthly lettings income 6k (no other income except savings interest)
    Aviva pension available now 60k (9k lump sum / 1.5k pa)
    State pension available from 2022, forecast at 160pw

    Value of buy-to-let freehold holdings £1.5m (no redemption costs)
    Buy to let mortgage debt 220k
    Value of own home 600k (no mortgage)

    Savings, ISA’s 100k, peer2peer 45k, other savings 35k. Total 180k

    Cars / wives and children / life assurance – all nil
Page 2
    • Malthusian
    • By Malthusian 15th Apr 19, 4:09 PM
    • 5,601 Posts
    • 9,272 Thanks
    Malthusian
    If I sell the 'Buy-to Let' properties and duly pay the CGT, then kick the bucket, does my estate have to pay Inheritance Tax as well?
    Originally posted by Feetup
    Yes.

    But the CGT reduces the value of your estate to pay tax on, so while it's still double taxation, it's not double tax on the whole lot.
    • Keep pedalling
    • By Keep pedalling 15th Apr 19, 5:48 PM
    • 6,270 Posts
    • 7,237 Thanks
    Keep pedalling
    If I sell the 'Buy-to Let' properties and duly pay the CGT, then kick the bucket, does my estate have to pay Inheritance Tax as well?
    Originally posted by Feetup
    Depends on who you leave it too, if you left everything over your nil rate band to charity then there would be no IHT at all.
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