Finance a CGT - really?
Discussion
francisb said:
the guy in EVO with the (newly) yellow one mentioned aranging finance for his (to join his 'fleet'). i did wonder. where the hell are these guys investing the cash to net more than 7% after tax?
Property (and I dont mean crappy buy-to-lets) - I mean development projects etc AND
Their Businesses...
murcielago_boy said:
the guy in EVO with the (newly) yellow one mentioned aranging finance for his (to join his 'fleet'). i did wonder. where the hell are these guys investing the cash to net more than 7% after tax?
Property (and I dont mean crappy buy-to-lets) - I mean development projects etc AND
Their Businesses...
Friend of mine has just made £420K on a development that cost 800K..........nice work
murcielago_boy said:
the guy in EVO with the (newly) yellow one mentioned aranging finance for his (to join his 'fleet'). i did wonder. where the hell are these guys investing the cash to net more than 7% after tax?
Property (and I dont mean crappy buy-to-lets) - I mean development projects etc AND
Their Businesses...
hmmm. figured as much. time to buy some land and get planning permission
and buy a cgtPOORCARDEALER said:
the guy in EVO with the (newly) yellow one mentioned aranging finance for his (to join his 'fleet'). i did wonder. where the hell are these guys investing the cash to net more than 7% after tax?
Property (and I dont mean crappy buy-to-lets) - I mean development projects etc AND
Their Businesses...
Friend of mine has just made £420K on a development that cost 800K..........nice work
HEXACTLY!!!
Someone I know depreciated their Ferrari Enzo within the business to offset Corporation Tax. (quite how I don't know because Enzo's haven't really depreciated!!!). Car was being TOTALLY financed by the business - i.e Zero down, mega balloon, hyper monthly payment.
You may be surprised to learn that MOST hypercars are now being financed. Even multimillionaires cannot bring themselves to put £500K into a lousy depreciating asset. For them £7k-£10k per month makes more sense.
POORCARDEALER said:
the guy in EVO with the (newly) yellow one mentioned aranging finance for his (to join his 'fleet'). i did wonder. where the hell are these guys investing the cash to net more than 7% after tax?
Property (and I dont mean crappy buy-to-lets) - I mean development projects etc AND
Their Businesses...
Friend of mine has just made £420K on a development that cost 800K..........nice work
Is that profit on top of what it cost him to do the development? As soon as I finish uni property here I come!
Polarbert said:
As soon as I finish uni property here I come!
Very sensible.
Someone did a survey on the something like the top 5000 richest people in the world to see if there was a personality trait or characteristic they all had in common.
There wasn't.
However, they all either made or held their money in property.
Polarbert said:
As soon as I finish uni property here I come!
Having the 420k starting capital is the sticking point. Give me a million quid and I will show you two million in a matter of time. Making money is fairly simple - making it out of nothing is the clever bit.
Just to stay on topic, I am pretty sure that Mark Sumpter's CGT is financed - I remember something in his first GT PP article about the scary monthly payments - 10k per month I think.
>> Edited by david968s on Friday 12th May 08:50
magic torch said:
Someone did a survey on the something like the top 5000 richest people in the world to see if there was a personality trait or characteristic they all had in common.
There wasn't.
However, they all either made or held their money in property.
I find that difficult to believe. Let's pick the richest guy - Bill Gates - sure he has property, but I bet nearly all his money is NOT in property. Nor did he make his money in property - although he's clearly owned a fair bit in his time. There are many many people like him who no doubt own some property - but it is not how they made money, nor where the bulk of it is invested.
Making money is property really isn't as easy as everyone seems to think.
Show me a deal with a return of 30% and I'll show you hundreds of people willing to pay way above the asking price, so much so that their eventual return will probably be less than 10%.
And don't get me started on the amount of regs that tie up the building industry.
10 years ago it was a different matter, but that bloody Sarah Beeney makes it look like a piece of piss so eveyone and their dog wants a piece of the action.
The trick is finding land/property that no one else is aware of, taking out options, buying privately, seeing the profit that others can't and staying clear of auctions unless you are a seller.
You also need to factor in that not every deal will net you 400k, some you'll be lucky to break even on with a lot of fighting and
, but occasionally a 400k deal will drop and whooooohooooooo!!!!
all at once
Show me a deal with a return of 30% and I'll show you hundreds of people willing to pay way above the asking price, so much so that their eventual return will probably be less than 10%.
And don't get me started on the amount of regs that tie up the building industry.
10 years ago it was a different matter, but that bloody Sarah Beeney makes it look like a piece of piss so eveyone and their dog wants a piece of the action.
The trick is finding land/property that no one else is aware of, taking out options, buying privately, seeing the profit that others can't and staying clear of auctions unless you are a seller.
You also need to factor in that not every deal will net you 400k, some you'll be lucky to break even on with a lot of fighting and
, but occasionally a 400k deal will drop and whooooohooooooo!!!! all at onceA11REX said:
Show me a deal with a return of 30% and I'll show you hundreds of people willing to pay way above the asking price, so much so that their eventual return will probably be less than 10%.
if you're not making at least 15% (excl compound interest on vals) you're doing something very wrong
sleep envy said:
Show me a deal with a return of 30% and I'll show you hundreds of people willing to pay way above the asking price, so much so that their eventual return will probably be less than 10%.
if you're not making at least 15% (excl compound interest on vals) you're doing something very wrong
Couldn't agree more
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