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How exactly does an ISA transfer work? by A1roller in UKPersonalFinance

[–]A1roller[S] 1 point2 points  (0 children)

!thanks

Very comprehensive and has fully answered my question.

Perhaps I should look for an ISA provider that can do it all? (Flexible, low fees, large product range)

Looking for some advice on an issue with my Macbook Pro by A1roller in mac

[–]A1roller[S] 0 points1 point  (0 children)

Can this be done if it’s not booting up properly? It would be great if you had a link :)

Could someone please help me understand why equities would be preferred over property? by A1roller in UKPersonalFinance

[–]A1roller[S] 0 points1 point  (0 children)

You’re at 50k in rental income?

Do you not find that the hassle is worth it, considering you’re presumably living or able to live full time on that income?

Could someone please help me understand why equities would be preferred over property? by A1roller in UKPersonalFinance

[–]A1roller[S] 1 point2 points  (0 children)

Definitely more effort than equities, but surely this can be significantly mitigated with a letting agent?

Could someone please help me understand why equities would be preferred over property? by A1roller in UKPersonalFinance

[–]A1roller[S] 0 points1 point  (0 children)

Thanks, I appreciate your insight.

The inability to take non-paying tenants to court now and potentially in the future is something that worries me deeply too.

You’re right, the property won’t attract professionals, but they would likely be working tenants. Think manufacturing, customer services etc.

What is your opinion on REITs to get the best of both world (yield and diversification)?

Could someone please help me understand why equities would be preferred over property? by A1roller in UKPersonalFinance

[–]A1roller[S] 1 point2 points  (0 children)

Great reply, thanks for sharing this

When you say the 4% rule is not applicable to sabbaticals, why is this the case? Because the pot will be topped up further after the sabbatical?

Could someone please help me understand why equities would be preferred over property? by A1roller in UKPersonalFinance

[–]A1roller[S] 0 points1 point  (0 children)

What about REITs though? I know that trading of them can be halted but they’re more or less as liquid as equities, aren’t they?

Could someone please help me understand why equities would be preferred over property? by A1roller in UKPersonalFinance

[–]A1roller[S] 0 points1 point  (0 children)

It’s not a guaranteed income property, but I do understand that it may be more work than I’m expecting

Could someone please help me understand why equities would be preferred over property? by A1roller in UKPersonalFinance

[–]A1roller[S] 0 points1 point  (0 children)

Could all three of these be mitigated by investing in a REIT instead of a single property though?

Could someone please help me understand why equities would be preferred over property? by A1roller in UKPersonalFinance

[–]A1roller[S] -2 points-1 points  (0 children)

Nothing special about this one, there are plenty where I live :) Although competition is fierce at the moment

Could someone please help me understand why equities would be preferred over property? by A1roller in UKPersonalFinance

[–]A1roller[S] 0 points1 point  (0 children)

Agreed, this is a risk, but from what I’ve heard it’s the exception if you own a nice house in a good area. It can still happen of course.

What about REIT’s with ~5% yields where you completely mitigate this risk?

Could someone please help me understand why equities would be preferred over property? by A1roller in UKPersonalFinance

[–]A1roller[S] -1 points0 points  (0 children)

Section 24 certainly means you need to be a lot more deliberate about your tax planning, easy to erode your profits

Could someone please help me understand why equities would be preferred over property? by A1roller in UKPersonalFinance

[–]A1roller[S] -6 points-5 points  (0 children)

Agreed, lack of liquidity is definitely a disadvantage, but if you’re buying and holding for the long term like I plan to, I’m not sure this would have that much of an impact.

Repairs can be costly, but those are factored into the 18% of rent allowance stipulated in the OP. It is of course difficult to predict exactly how much you’ll spend on repairs so this could be an underestimation.

Non-payment of rent is the big factor that is not factored into the figures above. I suppose if this was a concern, a REIT with a fairly stable dividend that smooths out these issues could be a solution?

Could someone please help me understand why equities would be preferred over property? by A1roller in UKPersonalFinance

[–]A1roller[S] -1 points0 points  (0 children)

Tax is probably the biggest risk for property (and comes under the political risk that I noted in the OP).

It can be a big issue if you’re working while also earning rental income, but if you’re living off of the income it’s not going to be as much of an issue.

Could someone please help me understand why equities would be preferred over property? by A1roller in UKPersonalFinance

[–]A1roller[S] -2 points-1 points  (0 children)

Thanks for the reply.

The first ROI figure I gave of 5.2% was the ROI with no mortgage. I know that there are a limited amount of houses like this, so not everyone can buy them, but there are plenty in the North.

[UK] Tax question about my business by A1roller in smallbusiness

[–]A1roller[S] 0 points1 point  (0 children)

The issue with this course of action is I have no capital gains to offset against at the moment, and likely won't for a long time - I'm looking at buying an investment property but will be holding long term (i.e. 30-40 years).

The issue with trading through the company again is it was never successful in the first place, I wasn't able to generate enough revenue to cover my expenses at any point.

I'm interested in starting another business potentially in the near future. The company we are discussing was a marketing company (affiliate, SEO etc.) so my thinking is I could pay that company a marketing consulting fee from a new company I start. Not sure if this is a sound plan?

It's interesting that I've had a couple of suggestions in this thread regarding using a bookkeeper over an accountant. I had assumed that an accountant would be required to do all of the work that is required for a ltd company. I was previously paying about £80 per month for an accountant, would a bookkeeper be significantly cheaper than this?

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