Won £50,000... WWYD?

[BridgettJ]

Just that.

I won £50,000... what would you do with the money?

Thinking a little investment property in Glasgow.

@ForensicAccountant

You can get repayment BTL. I wouldn't want interest only as I would want the mortgage paid off by someone else.

I wouldn't want any of the income to come straight into my account. I'd want it all to be going straight into the house, for several reasons but tax is one of them. I'm aware you still pay tax!

Interest only is ridiculous. If you don't want the income - why would you have an interest only mortgage? You just need a bigger deposit which we can do.
Interest only feels like you're renting from the bank!

I would do the extension I want. Then save the 15k for stamp duty fees when we next move.

@BridgettJ
Interest only because firstly you can’t knock mortgage costs off your expenses any more (are you sure you already have a rental property?) only a tax rebate on the interest so it makes no difference and I’d rather have the money building up there, pay one mortgage off after what 3/4 years completely then knock off the next etc. You pay the same interest whether it’s interest only or not...but I’d rather have the money than give it to the bank right away.

And look at north ayrshire, or east, you’ll get a flat for under £40k rent it out for £375-425 easily.

You can get repayment BTL. I wouldn't want interest only as I would want the mortgage paid off by someone else.

Just how would this set up work? Are your tenants paying their rent to your bank?

I wouldn't want any of the income to come straight into my account.

Apart from the fact that it is irrelevant whether the rent goes into your account or not - where does the rent go?

I'd want it all to be going straight into the house,

But how - please share your setup

Interest only is ridiculous. If you don't want the income - why would you have an interest only mortgage? You just need a bigger deposit which we can do.
Interest only feels like you're renting from the bank!

You completely lost me there. Your repayment mortgage does include the interest part of an interest only mortgage.

If you don’t need what you call ‘income’ you use it to repay the capital after paying your 40/45% tax on the ‘income’ and 20/25% tax on the interest.

(I am assuming from your posts that you are a higher or additional rate taxpayer)

I would have a fabulous holiday! Then Save the rest.

@ForensicAccountant

It's really not worth it. She's decided what she's going to do, she doesn't want to hear sensible information, and, frankly, I think she's a bit dim.

Some of you are coming off as very jealous indeed. Congratulations OP! I'd be looking at North Kelvinside - big flats and handy location.

Lol... so jealous!

Yes, I've got a £750,000 rental in London doing very well thank you.

Thanks for calling me dim. 🤣

And no I don't want or need the income. I just want a flat that takes care of itself and then 20 years down the line - I sell it for 200,000.

👍🏼

I pay a high rate of tax yes. @ForensicAccountant

I also get an 'allowance' monthly, so don't want the income. I can have a mortgage being paid for but can't have the money in my account. Therefore, happy to pay the tax but it can't accrue in my personal account. If that makes sense?

@aquamarine1 Great to know, thank you!!

Congrats if you won it, commiserations if it was left to you.

I'm assuming your pension is paid up to the max. You say you don't want the income and I see you're a higher tax payer. I think I would initially stick two thirds in Premium Bonds and any wins go straight back in to buy new bonds (hence no income) and then the remaining third to buy stocks and shares. If you don't already know the market it's going to be a steep learning curve and some mistakes will be inevitable. I can't think of a worst time to invest in stocks and shares with Covid. Some companies are on their knees and will never recover while others will thrive but your rewards could be big. If the stocks go well, then Premium Bonds can be diverted.

I also think you should keep something for fun, what makes you happy? Exotic holiday, expensive clothes/shoes/handbags?

Whatever you do, enjoy it and ignore the few posters oozing jealousy on here.

@ToLongNow that sounds awful, I’m glad he’s on the mend now! For his sake I hope he gets some drums in the future (but maybe for your neighbours sakes I hope he doesn’t 😂).

I agree with BlueSlice and wouldn't mind you being my neighbour as I'm deaf as a doorpost.

Do you have a btl in Scotland? The laws there are different than in England and much more of a pain in the backside for owners. I know people who have sold theirs because of the hassle.

@BlueSlice Thanks :)

@Crankley :)

ToLongNow

How about a gofundme thing to get your OH a new drum kit? I think it's a worthy cause, far more so than some of the ridiculous things for which they raise money.

If you do it PM me with a link, I will happily donate.

@Seeleyboo

Stealth boost. Won 50k..already have a BTL. 300k is very affordable. Christ OP. Hear yourself. Just out the 59k in your purse and spend it in Ocado

😂😂 Totally true.

Ooh I love thinking about this.
10K for each DC in their fund - 20K
Buy a van - 20K
Holiday - 5K
Pay off some easy debts - 4K
Meals out - 1K

@Crankley

Ah, Thank you.

But he would tell me off :)

Thank you so much though x

I’d split it. 10k to bills/debt. 10k to doing bits of the house up maybe an extension. 10k to savings And the rest of holidays and special stuff

While you decide what to do with it put it in PREMIUM BONDS then you might win the £200,000 in October draw