Age: 47
Spouse’s/Partner's age: 50
Annual gross income from employment or profession: 65k
Annual gross income of spouse: 100k (50k artists exempt)
Monthly take-home pay: Varies, due to nature of our careers. We just pay ourselves monthly household expenses, and rest goes straight into savings.
Type of employment: Both self Employed.
In general are you:
(a) spending more than you earn, or
(b) saving? Saving.
Rough estimate of value of home: 750k
Amount outstanding on your mortgage: 250k interest-only, redeem date 2029 - repayments: 220 pm
What interest rate are you paying? ECB + .5
Other borrowings – car loans/personal loans etc 210 pm - will be fully repaid in May.
Do you pay off your full credit card balance each month? Yes
If not, what is the balance on your credit card?
Savings and investments: 500k cash deposits.
Do you have a pension scheme? No, 50k of above income is tax-exempt due to husband's artist's exemption and we're focused entirely on rebuilding saving. Will consider this once we've sorted our property situ.
Do you own any investment or other property? 25k physical gold.
Ages of children: 11
Life insurance: Mortgage protection.
What specific question do you have or what issues are of concern to you?
As above, we've too much savings at the moment, but we're carrying a Capital Loss of 250k from selling at a huge loss a property bought in the boom (2006) and using savings to get out of that. Because of that situ we moved to our current PPR which was previously a rental and sat tight for a few years to try and rebuild those savings, which we've now done. As mentioned we are both self-employed and due to the nature of our careers - earnings are patchy but at least some of it is tax exempt which helped us rebuild the cushion.
Our situation now is ideally we would like to move because the house we're in was more out of necessity after losing on the previous one, plus the int-only tracker allowed us some breathing space to save. But the location isn't the best; it's close to a local authority estate that is can be very noisy with barking dogs, loud parties and general anti-social stuff in the vicinity.
We did some renovations in the interim, so ours would present well and EA reckons would sell easily, but we're hesitant about using our savings to trade up and pouring the whole kit and caboodle back into property again, especially given the current crisis and how that might pan out economically. We could use savings to pay off the tracker but are reluctant to do this when the prospect of trading up is on the cards anyway.
Timewise though, we need to make a decision before redemption date in 2029 and more importantly, before secondary school becomes a consideration as don't want to uproot our son in the middle of that.
A wildcard is that there's a big site adjoining ours that's on the market for 200k (no planning). Due to rights of way/access issues we are well-positioned to add value to the land by changing entrances/access etc and could likely get planning to extend our current place onto it to make it work better for us, position living areas away from neighbouring noise etc. And could in time carve up the rest for another site to sell-on.
We're just not sure which is a better use of our money, and are very risk averse due to previous loss. So instead of trading up are wondering if we should seriously consider the site development as a way to improve our living situ. Plus look at it as a future investment for which we could also avail of the capital loss on any future development. If we sell our current PPR, we'll also be liable to some capital gains from the time it was rented so could utilise on this also, but wouldn't be much.
As you can prob tell, we're really not great with weighing financial pros and cons over emotional ones and would love someone to throw a cold eye over it...
Thank you.
Spouse’s/Partner's age: 50
Annual gross income from employment or profession: 65k
Annual gross income of spouse: 100k (50k artists exempt)
Monthly take-home pay: Varies, due to nature of our careers. We just pay ourselves monthly household expenses, and rest goes straight into savings.
Type of employment: Both self Employed.
In general are you:
(a) spending more than you earn, or
(b) saving? Saving.
Rough estimate of value of home: 750k
Amount outstanding on your mortgage: 250k interest-only, redeem date 2029 - repayments: 220 pm
What interest rate are you paying? ECB + .5
Other borrowings – car loans/personal loans etc 210 pm - will be fully repaid in May.
Do you pay off your full credit card balance each month? Yes
If not, what is the balance on your credit card?
Savings and investments: 500k cash deposits.
Do you have a pension scheme? No, 50k of above income is tax-exempt due to husband's artist's exemption and we're focused entirely on rebuilding saving. Will consider this once we've sorted our property situ.
Do you own any investment or other property? 25k physical gold.
Ages of children: 11
Life insurance: Mortgage protection.
What specific question do you have or what issues are of concern to you?
As above, we've too much savings at the moment, but we're carrying a Capital Loss of 250k from selling at a huge loss a property bought in the boom (2006) and using savings to get out of that. Because of that situ we moved to our current PPR which was previously a rental and sat tight for a few years to try and rebuild those savings, which we've now done. As mentioned we are both self-employed and due to the nature of our careers - earnings are patchy but at least some of it is tax exempt which helped us rebuild the cushion.
Our situation now is ideally we would like to move because the house we're in was more out of necessity after losing on the previous one, plus the int-only tracker allowed us some breathing space to save. But the location isn't the best; it's close to a local authority estate that is can be very noisy with barking dogs, loud parties and general anti-social stuff in the vicinity.
We did some renovations in the interim, so ours would present well and EA reckons would sell easily, but we're hesitant about using our savings to trade up and pouring the whole kit and caboodle back into property again, especially given the current crisis and how that might pan out economically. We could use savings to pay off the tracker but are reluctant to do this when the prospect of trading up is on the cards anyway.
Timewise though, we need to make a decision before redemption date in 2029 and more importantly, before secondary school becomes a consideration as don't want to uproot our son in the middle of that.
A wildcard is that there's a big site adjoining ours that's on the market for 200k (no planning). Due to rights of way/access issues we are well-positioned to add value to the land by changing entrances/access etc and could likely get planning to extend our current place onto it to make it work better for us, position living areas away from neighbouring noise etc. And could in time carve up the rest for another site to sell-on.
We're just not sure which is a better use of our money, and are very risk averse due to previous loss. So instead of trading up are wondering if we should seriously consider the site development as a way to improve our living situ. Plus look at it as a future investment for which we could also avail of the capital loss on any future development. If we sell our current PPR, we'll also be liable to some capital gains from the time it was rented so could utilise on this also, but wouldn't be much.
As you can prob tell, we're really not great with weighing financial pros and cons over emotional ones and would love someone to throw a cold eye over it...
Thank you.