Originally posted by d000hg
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2. Yes, I did read buy it for cash. What wasn't clear was what you were intending to do with the mortgage. Pay it off from the funds received by the company presumably.
It seems the net effect will be to "lose" a personally owned property. Lose 60k of debt and have some limited cash left over.
If it happens that you have a mortgage on you prime residence it seems likely this is at a higher rate and may be useful to pay this down first. This may potentially be achievable by selling part of property to the ltd and using those funds to pay down the main residential mortgage. This is more complex because of the mortagors rights. They remain as is unless the mortgagor is prepared to changed them. However it can be achieved by an appropriate deed of trust.
This may also reduce consideration and could mean stamp duty is not payable. (i.e. it might be beneficial to transfer in tranches over a few years). Though absolute lowest cost to achieve it of course may not be your motivation.
As to whether property in the company is a better idea or not that is, as mentioned, somewhat more complex and also dependant on things that are only just happening.
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