Buying paddock land with house from SIP pension ?

[Citrus7]

Wanted to pick the brains of the more savvy financial gurus on here please.

Having a wife who wants to buy a property with more land plus looking for better investments for a SIP, I wondered if I can kill 2 birds with 1 stone

Understanding you can buy commercial buildings with a SIP, borrowing up to additional 50% if required, if I was to find a house with separate deeds for any additional land it has (paddocks, woodland etc), could I buy the latter through my SIP ( buying main house the normal route) ?

So man Maths, say if a house is up for say £550k, and the extra land on separate deeds is valued at say £150k, I assume I can buy house for £400k the normal route, paying stamp duty on £400k), then SIP pays £150k and associated buying fees accordingly ?

Would much rather look out at some land than a statement for my my Pension each year

Appreciate I would have to pay rent on commercial land into pension, and also sell property with land at later point when I want to retire, but interested what others think or have done in similar scenario ?

Cheers in advance Dave ?

[PurpleMoonlight]

Providing it's approved use is agricultural land, and not residential garden, yes that should be possible.

[Citrus7]

Thanks

[wattsm666]

You can only borrow 50% of the value of your SIPP before the property is included. So if you have £100k of value now you can borrow £50k not £75k being half the land value.

[Citrus7]

wattsm666 said:

You can only borrow 50% of the value of your SIPP before the property is included. So if you have £100k of value now you can borrow £50k not £75k being half the land value.

Thanks for confirming.

Any idea if the main lenders out there offer these kind of mortgages / loans, or would I have to go via IFA ? Also if your normal solicitor for residential purchases can manage the pension SIP purchase side too ?

[PurpleMoonlight]

Talk to your SIPP provider.

Many have lines of finance and dictate the solicitor to be used for the purchase.