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julia urquhart

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Everything posted by julia urquhart

  1. With a change coming over leaseholds and ground rents I wonder whether it would be better to wait and see what is going to happen here.
  2. Have the blocked fireplaces got vents? If not they should be fairy simple to fit. You also need to exclude any underlying reasons for damp so looking at where the problems are may give you a hint. Condensation is worst behind furniture pushed up against walls, especially on external walls. If they didn't use the heating that also makes things worse. Check for signs of rising damp downstairs, leaking gutters & down pipes for upstairs. Damp around windows may be signs of poor fitting - have you got FENSA / Certass certificates? Also worth checking whether the plaster is blown shoul
  3. Why not port you residential mortgage to your new home and set up the BTL mortgage on your existing home at the same time? I'm sure a broker will be able to advise you of the best way forward. Remember you will pay 3% SDLT when you buy the second property.
  4. If your property isn't worth your mortgage after 25 years something pretty bad has happened!
  5. I agree that buying and securing your own home first is the way to go. It will save you money (cheaper than renting), allow you to access the best mortgage rates (residential mortgages are lower than BTL and you can borrow more), and teach you a lot about owning property. Then save hard and get your deposit for your BTL. Although buying a rental first may seem appealing imagine what would happen if your tenant stopped paying / trashed the place etc - would this put your own (rented) home at risk? Other factors not always considered: how does buying rental first impact you in terms of
  6. Ok - so firstly these returns are annual returns for each year - no fudging there. Secondly charges are on the website on the 'key facts' documents. Thirdly Fundsmith have been outperforming the market since 2010 - ok he may not be able to do it forever but 10 years is a pretty good run (449% increase by the way!) If the performance starts to drop you can switch. I accept your example of Neil Woodford, but his 'spectacular returns' lasted abut 20 years and I had switched out long before his calamitous fall when his results dipped. I am not saying put all your eggs in one basket and then walk
  7. I believe you will also need building control if you are putting a kitchen in a new room.
  8. looking again at the picture, it may be that there is no guttering at all along the back - that is definitely wrong & maybe the problem. Whatever the cause your first action would be to sort out all those issues!
  9. The tax on any profit from housing will be decimated if you own this as an individual - 40% tax really stops it being worthwhile so I think the only way it works for you is in a limited company & I have no experience of this - others may be able to advise. I have run stocks and shares ISAs alongside my property and the beauty of that is the tax efficient structure. I have been able to make money out of property because I didn't have any other income, so I stayed a 20% tax payer and because I shared my income with my husband - who is now retired - so our tax bill is relatively low. I
  10. I am not a professional - this is just an opinion! I can't work out from the two pictures where the bathroom is as the windows don't seem to match at all, but I'm pretty sure you should have a gutter like the one on the left on the recessed part of the building and the back wall pipework looks really odd. The picture is not really clear but it looks like a piece of pipe is missing - from the gutter above the alarm box to the top of the down pipe. That would explain why the walk looks damp. Additionally the poo pipe appears to have been inserted into the down pipe with no vent above t
  11. I've not looked at your figures but I have some experience in property and this might help explain the apparent lack of profitability. 1. I never made any money on a property in the first year of owning it. 2. I made no money from my portfolio for the first 10yrs as all profits were ploughed back in to buying the next property. 3. 20 years on I am making good money from a portfolio of about 10 houses jointly owned with my husband (thus keeping below the higher rate of tax). The reasons it works eventually: 1. You only use a little of your own money & a lot o
  12. Unusual not to have a gutter (only seen that on a thatch) - would imagine that would definitely cause a problem. Is this a terrace - if so do the houses either side have gutters?
  13. It rather depends on what you are planning to do yourself and what standard fittings you plan to use. Assuming you need trades for most I would hazard a guess at: 1. New Bathroom £1500-£2500 2. New kitchen - £1500-£2500 3. New boiler - £1000-£1500 4. Plastering - £1000-£1500 5. Rewire - £1000 (don't forget your EICR) 6. Carpets - £750 - £1500 7. Decorating - £250. if you do it yourself You could spend a lot more and there will be things you have not thought of that become apparent as you go through the process. You could get it done for £10,000 but pay
  14. To those whose perpetuate the argument that an amateur investor is unlikely to be able to do well in stocks & shares, that it is hard to beat an index, that past performance cannot be relied upon, I refer you to the annual returns posted by Fundsmith - draw you own conclusions:
  15. Assuming that is an upstairs bathroom it looks like it is either the roof or the gutter / down pipe that is the problem. You might be able to see a gutter problem from outside and a look in the loft might show you if there is water coming in through the roof. You would need to find the leak and then repair the wall - maybe replaster on both sides before redecoration. Given the state of that bathroom not a lot more than you would be doing anyway! I wouldn't imagine the cost would be anything like £20k. Good luck
  16. You have to continue the AST unless the tenant agrees to surrender it as it overrides the sale of the property. I believe there is a specific form to send to the tenant to amend the LL details. Your solicitor needs to ask for proof of which documents were issued at the start of the tenancy so you know whether it was done correctly and don't forget the deposit! Good luck
  17. I believe your husband does not have FTB status as the definition is owning a property anywhere the world. You on the other hand still have your FTB status.
  18. I have been using HL for a number of years and I really like the platform. They offer all the funds / shares / ITs I want and you can hold a SIPP, ISA and funds all on the same platform. Lots of information available and I find it easy to navigate. Other platforms maybe slightly cheaper but I have tried several others over the years like HL the most. I don't think making money in S&S ISA is that hard. There are some simple rules to follow - invest for the long term; understand what you are investing in (that's why I don't do bitcoin), don't try to time the market (but do look for d
  19. Typo : Prescribed documents are: EPC Gas Safety How to Rent Booklet Deposit Protection info EICR (from April)
  20. Firstly, any AST overrides the sale of the property, so you can only issue a new tenancy agreement if the tenant agrees to surrender the original. If they choose not to then you need to arrange the formal notification that you are the new LL and ensure the payment now goes to your bank account. You could then offer a new contract when the current one expires or the tenant could choose to go periodic. At any point that you offer a new AST you must ensure that the you issue all the proscribed documents. The 'pro rata' rent should be sorted out by your conveyancer. Not sure about the deposit
  21. I would always recommend securing your own home first. You will get a lower rate on a residential mortgage & you will learn a lot from owning your own house. Having done this why not just buy a BTL rather than moving yourself and renting out the first property? Switching mortgages always come with a cost so set yourself up with a good deal on your own home then find the right BTL mortgage from the off with your next property. Also remember the 3% additional SDLT on second and subsequent properties - to minimise this you need your BTL to be cheaper than your home and if you keep '
  22. Depends entirely on the individual's tolerance for risk. At the beginning of your journey you probably need a higher level of debt or you will never expand, but after 20 years in the game I am pleased to see mine down to 50%.
  23. This might be a good time to do any expensive upgrades - new windows / doors, insulation, kitchens, boiler / heating upgrade - anything that needs doing. These will off set your 40% tax rate and allow you to make improvements a bit more cheaply than usual. You could change the ownership to joint with your partner and use some of her tax band. Or you accept for a couple of years there is a higher cost to your rental business and accept it for the long term good. What you need to avoid doing is a knee jerk reaction to avoid paying tax that costs you more in the future. After all y
  24. As a cash buyer you don't have to wait for a mortgage offer and you could decline all searches - but you would probably not be advised to do this unless you know the property and area very well. You do hear of people getting things through quickly but I always plan for 12 weeks and am not usually far out. Things are taking longer during lockdown too and conveyancers are really busy so although it may be possible I would not bank on it!
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