Another investment advice thread
Another investment advice thread
Author
Discussion

Daz65

Original Poster:

49 posts

213 months

Thursday 17th March 2016
quotequote all
Because of a recent inheritance, Mrs Daz and myself have in the region of 200k to play with. We both have good jobs (joint income circa £110k gross) and employer pension schemes, mine is the railway pension scheme, her's civil service. Current mortgage has about 5 years left. Our thinking is for a btl in the Hants/Dorset area as that is where our children live/work and where we intend to move in a few more years as retirement approaches/ grandkids etc. My eldest already has her own property but my son is just about to qualify and move in to the Bournemouth/Poole area with his partner. Thinking of a cash purchase and my son as a ready made tenant for at least the next two years, no need for letting agent/management fees and no exposure to the upcoming taxation changes, stamp duty excepted.

Does my plan appear sound? Me and Mrs Daz are quite risk averse, we have a good lifestyle that we easily afford so not looking for potential high gain balanced against the high risk type of investment but obviously want something a bit better than current isa/savings rates. Considered paying off our existing mortgage but as we only have 5 years remaining or less if we overpay even more, may as well leave that to its own devices.

Interested to here other opinions and thoughts.

Daz.

ellroy

7,846 posts

255 months

Friday 18th March 2016
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Beware of the extra stamp duty if you already own your home.

If the intent is to eventually gift the money to your son gifting to him before purchase would potentially save that at least.