House Cash question

[DimPrawn]

I think it means "pokey and overpriced terraced house in SE, but not like the ones on Coronation street, them is for northern monkeys."


HTH

[TimberWolf]

If we sell our house...

I take it this is a very hypothetical question?

[Sausage Surprise]

£500k ?

Ideal for the first time buyer...

[Xenophon]

I think it means "pokey and overpriced terraced house in SE, but not like the ones on Coronation street, them is for northern monkeys."


HTH

Indeed.

'tis a fancy expression used by them there estate agents.

[Pickle2]

I love this chart.

http://www.timesonline.co.uk/multime...se_385033a.pdf

Those month on month changes are truely astronomical.

[ASB]

If we sell our house and move into rented for 12 months; what do we do with the not inconsiderable equity until we buy back into the market next year (or the year after)? We'd need something safe with a good return. Any ideas?

Are you talking about 100k or 500k ?

I'm assuming you have used all available cash isa allowance for the years in question. Obviously helps 'cos of the tax.

You could spread it around a few b.socs at 6.5% ish - but taxable of course. You can currently get 1 year bonds around 7%. Consider taking the maximum in premium bonds. With average luck this should pay 3.4% net (it's tax free).

Depending on your view of inflation might be worth considering one of the various index linked nat savings products. Generally pay their index (which one is it these days?) + 1% net. I think there might be a 3 year period though.

[DimPrawn]

Are you talking about 100k or 500k ?

I'm assuming you have used all available cash isa allowance for the years in question. Obviously helps 'cos of the tax.

You could spread it around a few b.socs at 6.5% ish - but taxable of course. You can currently get 1 year bonds around 7%. Consider taking the maximum in premium bonds. With average luck this should pay 3.4% net (it's tax free).

Depending on your view of inflation might be worth considering one of the various index linked nat savings products. Generally pay their index (which one is it these days?) + 1% net. I think there might be a 3 year period though.

Or donate it all to the Conservatives, and then when they get in, you'll make it all back plus more in the huge tax cuts they will make for us.

[milanbenes]

take the cash, use it as leverage and get buy-to-let(ed) up

sorteeeeeeeeed

this time next year...

he who dares Rodders he who dares



Milan.

[Lockhouse]

Are you talking about 100k or 500k ?

I'm assuming you have used all available cash isa allowance for the years in question. Obviously helps 'cos of the tax.

You could spread it around a few b.socs at 6.5% ish - but taxable of course. You can currently get 1 year bonds around 7%. Consider taking the maximum in premium bonds. With average luck this should pay 3.4% net (it's tax free).

Depending on your view of inflation might be worth considering one of the various index linked nat savings products. Generally pay their index (which one is it these days?) + 1% net. I think there might be a 3 year period though.

At last a serious reply. Amount of equity is towards the upper end of your quoted range. Premium bonds I'd not thought of.

I thought if you had a cash ISA you had to leave the cash in there for 5 years to shelter it from tax?

Is it the Building Socs that market 1 year bonds?

[milanbenes]

Lockhouse,

have you also considered simply taking x % of the cash and putting it into a foreign currency bank account at your local bank ?

Strange as it may seem, over a 12 months period you might do very well betting on the pound falling against currencies, the benefit of this is the cash is always liquid and can at any time be converted back to gbp and used for something

Anyone who had bought Euro 12 months ago would now be 20% up.

Milan.