What do you think to part buy schemes in London?

[EachandEveryone]

I don’t own. I’ve inherited 30,000 but won’t be getting it for awhile. I work in London but eventually will move back up north. They are building flats all around me, thousands of them. They are saying they are worth £450 plus but they aren’t. So, 125 grand will buy a person a quarter plus they charge £450 rent and £150 service charge. Totally it will be about £1300 a month. Is this kind of thing ever worth it? My rent on a three bedroom is £1300 and I share.

But where is a good place to but a BTL property? In my northern town the value hardly goes up and no one pays more than £400 a month rent and the one thing i cannot do is pay rent in London and a mortgage up north. Im late40's btw.

You get a BTL interest only mortgage, using your £30K as a deposit.
The rental income will cover the payments.
You will be able to sell or take equity to buy something to live in once you move out of London.
Only follow this plan if you don't intend to settle in London.
It is a good way of investing your £30K rather than just throwing it at your rent in London. Assuming that you can afford your rent atm.

You can get a nice 3 bed in West Yorkshire for around £80K, repayments £500 pm, rental income £700 pm.
Prices are going up so the property will be worth more in a couple of years.

£30K isn't really enough for a deposit in London.

Don't, don't, don't get an interest only mortgage on a BTL. Seven years rental income will make a big dent in a repayment mortgage.

That is true, but it will be a bigger payment.

Im not west yorksire though so who will manage it? Are you talking flats? My family is Hull. I will have to go back eventually (7 years)

Property does not go up in Hull

I bought under this scheme. Took me ten years to staircase up to 100% and I made 150,000 when I sold. It's not necessarily cheaper per month but enables you to buy in London. REALLY worth it, though check service charges, they can be 250 a month. In retrospect I would have only staircase up to 95% as then the housing association buy back at a good price.

The trouble is the housing market has peaked in London. I think it is too risky to buy in London now. I think prices will drop further in the next 8 to 12 months. It might be better to wait for that to happen and reassess.

The flats do look nice www.sharetobuy.com/properties/30218/

Im not going to get any money for at least six months

Op. I think you should spend the next 6 months reading the finance pages, listening to some good financial advice programmes and maybe get some independent financial advice.
Dont go into property investment. I take back my previous advice because property investment is risky and you really need to know a lot about it.

Will there be capital gains tax payable or is it an inheritance?

Sorry. I see it is an inheritance.