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"three Houses And No Savings"...........

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I wonder how many others are facing similiar situations and will end up being forced/distressed sellers ?..........

"Three houses and no savings

Marianne wants to make the most of a surfeit of property

Sunday August 14, 2005

The Observer

Marianne, 40, and her husband, Mick, 48, own three properties between them. They want to know the implications of selling one of them:

'My husband and I bought a house in April 2004 on which we have a three-year fixed-rate mortgage of £170,000. When we met I owned a flat outright and had lived there for three years. Since I moved in with him five years ago I have rented mine out. This money pays for service charges and other expenses - with the remainder mainly going towards our current mortgage.

My husband also owns an ex-council flat which he bought under 'right to buy' two years ago and now rents out via a housing association. The rent he gets pays for the mortgage on that property. He has to wait another three years before he can sell it.

I bought my flat for £60,000. When I stopped living there it was valued at £160,000. It rose after that, but is now back to roughly the same level.

I took my flat off the rental market when we were planning to buy a house together and tried to sell it to put the proceeds towards our current property. But there was a bit of a slump, so it seemed a rather expensive mistake at the time, and we re-rented it last summer.

I am very unclear as to my tax situation were I to sell my flat. Presumably, as I bought and lived in it for the first three years, the profits would not be liable to capital gains tax, but at what point, if any, does this situation change? Could I remortgage my flat and offset the borrowing costs against tax? Could I do this retrospectively?

If we did sell it - and I am a bit fed up of dealing with tenants - what should we do with the money? Pay off our mortgage or invest it for our retirement?

Currently we have no savings - our income seems to be gobbled up by our new house. We work in the public sector but both have very limited pension provision................continues"

Observer : three houses and no savings

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"Three houses and no savings

My husband also owns an ex-council flat which he bought under 'right to buy' two years ago and now rents out via a housing association. The rent he gets pays for the mortgage on that property. He has to wait another three years before he can sell it.

Perhaps an FTB would be better qualified to comment here, but isn't this extract ripe for inclusion in the "Why are people here so bitter?" thread?

Maybe I'm assuming too much, but this hardly strikes me as a good use of "right to buy," which if memory serves me, is a scheme to help people own their own home (I use the word carefully).

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Perhaps an FTB would be better qualified to comment here, but isn't this extract ripe for inclusion in the "Why are people here so bitter?" thread?

Maybe I'm assuming too much, but this hardly strikes me as a good use of "right to buy," which if memory serves me, is a scheme to help people own their own home (I use the word carefully).

Scheme to help people own thier homes so it dosnt break up local communities.

Just an all round stupid idea if you ask me, i live in a council house, i will be buying it with the hope of selling it at a large profit in the future. Dosnt make alot of sense to me.

I would be a fool not to do it though if the oppotunity is there.

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Scheme to help people own thier homes so it dosnt break up local communities.

Just an all round stupid idea if you ask me, i live in a council house, i will be buying it with the hope of selling it at a large profit in the future. Dosnt make alot of sense to me.

I would be a fool not to do it though if the oppotunity is there.

ditto. At the moment it seems likely that my first purchase will be a flat currently owned by an LA, rented in the name of my g/f's father (who has been in the US for 5 years) and occupied by her mother's ex-boyfriend, who we are currently trying to get out. Oh, and he's an illegal immigrant.

the way I view it is simple, the tax paid by me and my folks over the years has subsidised those who have bought these at a huge discount. It's time to claim a slice back. After all, it was Maggie who encouraged us to put ourselves first?

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  • 339 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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