9:52 AM, 30th January 2017, About 6 years ago 10
I’m not good with numbers. I’m an illustrator!! But I am also a desperate illustrator (many of us are). I can’t afford to live in my own home despite all the part time jobs I do and the books I publish. I live in a beautiful place by the sea, expensive, much in demand from tourists, but I can’t let it because… well, because I’d be homeless and I’d still have to pay bills on a holiday let… and I wouldn’t earn enough to also rent somewhere myself and pay my own bills.
I wondered about selling up – my flat is valued at £250,000 (might be more now, that was two years ago, might be less), and buying an HMO – then trying to survive on that income and my illustrating. I can’t drive (couldn’t afford a car if I did). I’m literally on the breadline and because I’m old (with no pension, not even a state pension) the value of the flat is absolutely all I have and I can’t afford to cock things up (any more than I already have done).
If I bought an HMO with a return of around £20,000 a year, let it out – and I didn’t own my own home, I lived in separate, rented accommodation myself – where would that put me with capital gains tax and – well, tax in general? Is it doable or would I be taxed so hard that I still couldn’t afford to survive even that way?
I’m in this state because I was with my wealthy partner for 20 years, but he left me for another (much younger, naturally) woman and we weren’t married, so I had no rights. I had this flat thankfully, so came to live in it. But I am too old to get most of the jobs I apply for, and those I do get – are below basic wage and very menial. I stupidly didn’t have a pension because my ex always told me that he would sort that out for us and we used my money from my books etc to fund other, far less important things.
So now… I’m in an absolute mess at a very tricky age, and any advice would be so, so gratefully received.