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gazwheat

How To Invest?

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I've just sold my house and am intending to rent for the foreseeable future and monitor the housing market (hoping for a crash of course).

I stand to make around £74,000 from the sale, but what do I do with it?

Where is the best place to put my money?

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Others may be better positioned to point you to a way of making the maximum returns on your capital. I am assuming that you are looking to re-enter the housing market in the future when prices have dropped. Why not try just cash savings, e.g 3K in cash isa? For further tax free savings NSI have both premium bonds and saving certificates. You could by using these get 63K away, straight away, from fatty Gordon!!!!

I think against a falling housing market you don't need to be doing a great deal, just stay risk free, let the crash and your cash, do the rest!!!

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Others may be better positioned to point you to a way of making the maximum returns on your capital. I am assuming that you are looking to re-enter the housing market in the future when prices have dropped. Why not try just cash savings, e.g 3K in cash isa? For further tax free savings NSI have both premium bonds and saving certificates. You could by using these get 63K away, straight away, from fatty Gordon!!!!

I think against a falling housing market you don't need to be doing a great deal, just stay risk free, let the crash and your cash, do the rest!!!

Consider corporate bonds if you intend to save it for 3 years plus, or FTSE index trackers if you intend to save it for 10 years plus.

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National Savings do something called a Guaranteed Equity Bond - I think it's 5 years fixed with a return of 125% of the FTSE (but if the FTSE crashes over that time you'll get 100% of what you put in). The downside is that you don't get paid dividends.

There are other private schemes but they don't have the same guarantee.

Personally I don't think this is for me, but it's something to look into.

Consider corporate bonds if you intend to save it for 3 years plus, or FTSE index trackers if you intend to save it for 10 years plus.

I know that's always the advice, but since you can buy and sell index trackers for 0% commission I don't see any problem in having a shorter term view (CGT allowance also considered).

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Personally I think the STR and FTB should consider putting some of their savings into long dated gilts.

This means you're betting on inflation staying low. But thats a hedge to me. If inflation picks up, so will interest rates and the housing market will fall.

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Personally I think the STR and FTB should consider putting some of their savings into long dated gilts.

This means you're betting on inflation staying low. But thats a hedge to me. If inflation picks up, so will interest rates and the housing market will fall.

Well how do you actually invest in guilts ? What financial product are they ?

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Personally I think the STR and FTB should consider putting some of their savings into long dated gilts.

This means you're betting on inflation staying low. But thats a hedge to me. If inflation picks up, so will interest rates and the housing market will fall.

What sort of guarantee is there that interest rates will pick up if inflation does? Will inflation pick up now that housing prices are factored into the calculation?

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  • 337 Brexit, House prices and Summer 2020

    1. 1. Including the effects Brexit, where do you think average UK house prices will be relative to now in June 2020?


      • down 5% +
      • down 2.5%
      • Even
      • up 2.5%
      • up 5%



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