Invest 50k over next 4 years
Invest 50k over next 4 years
Author
Discussion

Opara

Original Poster:

506 posts

200 months

Saturday 7th April 2012
quotequote all
Hi, just a bit of background on my situation.I'm 29 and currently undergoing a career change and i'll be starting university in the autumn studying engineering.
From previously working I have managed to save up around 50k which originally was going to be a deposit on a house but now things have changed.I have no ties and want to find the best way of investing this money, barring an emergency I don't think i'll need to dip into this.So far I have seen Isa's which lock you in for 3-4 years and offer around 4% interest.Another option i've considered is property, using this as a deposit on a buy to let mortgage, is this feasible?

I'm very new to this so any pointers you can offer will be greatly appreciated.

Cheers

Webby66

68 posts

177 months

Monday 9th April 2012
quotequote all
Hi there

Before looking at the investment options it is important that you decide on what you might require in case of emergency and to live on, ths needs to be kept far more liquid and available. After that you can consider options for investment.

Property can be good but you have to consider, liquidity, ongoing running costs, tenancy voids, tax etc. Stock market based investments can be better, especially unit trusts, but you have to consider how much risk you are willing to take.

Cash ISA rates are improving without having to lock money away.

Before you can decide on what to invest in, first look at what you might need short-term, your own tax status, income and expenditure, and the risk you are willing to take before any decisions.

Good luck

Medic-one

3,143 posts

233 months

Thursday 12th April 2012
quotequote all

PM send

Guvernator

14,472 posts

195 months

Friday 13th April 2012
quotequote all
Well I have a nice opportunity for you. I have $6.75m locked away in a bank account in Nigeria, I'm not able to release this money as my cash is tied up in other investments and I need to pay a transfer fee which I don't have at present. If you wire over your £50k to me, I can then use it to release the above amount and once it's come through, I'll let you have half of it. wink

In all seriousness I would go and see an independent financial advisor, your bank should probably be able to arrange a meeting for you. You may get a bit of sales spiel but you'll get professional financial advise. I dunno, maybe it's just me but I think you would be a better off doing this rather than asking strangers on the internet about how to invest your hard earned life savings. smile

Opara

Original Poster:

506 posts

200 months

Friday 13th April 2012
quotequote all
Sorry Medic, thanks for the offer but it's not for me.

You're right about consulting experts, my brother's actually a financial advisor so i'll be talking to him eventually.I was just hoping to get an overview and you're opinions on property, though i'm not sure i'd qualify for a mortgage as i'll have no income apart from student loan.

My plan is to invest 40k and have it locked away for 3 years and invest the other 10k but have that as retrievable without penalties should any emergency occur.

johnfm

13,751 posts

280 months

Sunday 15th April 2012
quotequote all
Apple shares.

RichyBoy

3,749 posts

247 months

Monday 16th April 2012
quotequote all
What about this:

Index linked national savings cert..

Premium bonds.

Shares ISA in tesco or something thats lost a load of value.

Gold, some physical and some other ways.

audidoody

8,598 posts

286 months

Monday 16th April 2012
quotequote all
Before consulting a financial advisor, ask yourself: How Come He's Not Rich?

JDRoest

1,126 posts

180 months

Friday 27th April 2012
quotequote all
Opara said:
Hi, just a bit of background on my situation.I'm 29 and currently undergoing a career change and i'll be starting university in the autumn studying engineering.
From previously working I have managed to save up around 50k which originally was going to be a deposit on a house but now things have changed.
Florida foreclosure market wink (foreclosure and short sales).

Currently buying 3 bedroom $40k houses and then renting out for $700-800pm. Got a few under my belt so far. It's a cash market only. Anything under $35k needs work. We're limiting ourselves to specific areas in a Florida city (the good areas). Banks are taking an absolute beating on this stuff. Our portfolio is showing losses by the 'evil banksters' in the region of $400k over a number of properties. Our latest cost $26k (needs work though), and the bank swallowed something in the order of $80k. Missed a rent ready property last week, probably went for $30k - 3 bed 2 bath, although that was USC/Resident only sale, and the Federal Govt was taking a $75k hit iirc.

Short sales can take any length of time to complete. The foreclosures go fast (30 days from offer to closing), short sales can be 2-5 months. We have a $30k (just dropped to $26k due the aircon being stolen) and that's been going on for 5 months now with no end in sight. If/when we get it, it's a 2 week turn to rent ready - just needs paint! But that bank isn't happy about losing $80k on that one hence it getting delayed.

Our market is getting tougher though, plenty of investors circling.