Pension fund for rental purchase

[sidb]

I currently have a work pension but am looking at setting up a private pension. Could I use say 50k from a private pension to put down as deposit on a investment property or do you need the full amount of the purchase price of the property for this to work. Long story short that I am looking to invest in a property but would I use my own savings as deposit or could I start up a pension and save 2k a month and save on any tax incentives and then put down the deposit through my pension? Is this possible and if so what are the benefits.

 

[Steven Barrett]

You need a self directed pension to purchase a property through a pension. I wrote about being able to borrow for pension schemes a few weeks back. The article is here . It is expensive to set up and unlikely that your employer will allow it as it's more hassle for them and the trustees may find themselves liable if it all goes south.

Steven
www.bluewaterfp.ie

 

[sidb]

Thanks steven. Interesting read