Charles de Lastic

Registered with Property118.com
Tuesday 26th April 2016

Insures properties through a broker recommended by Property118
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Latest Comments

Total Number of Property118 Comments: 21

Charles de Lastic

18:18 PM, 2nd August 2019
About 3 months ago

Should I sell or take a Lifetime BTL mortgage ?

I deal with a number of these kind of cases in my work. Yes the previous posts are correct in that Equity release is a complex product and you have to be careful to get the right product.
In the end the outstanding debt rolling up against the property is not a huge issue as you do not have any children to leave assets to so why struggle through your life? - as long as you ensure you have a no negative equity guarantee ( they cant kick you out if the house is worth less than the outstanding debt which I believe is on all equity plans these days but make sure). Also an equity release will mean neither you or your elderly mother will not have to move home.
Care - If the compound interest charges grows beyond the amount where you have a good amount of equity in the property it is possible you may find it difficult to move in the future
Lastly interest rates are low historically.
My advice see a couple of fee based financial planners and decide once quoted.
Talk to a number of advisers and find one who will charge a fee rather than take a commission. Ideally they refund back the commission to you as it no doubt be larger than the fee.... Read More

Charles de Lastic

8:10 AM, 29th September 2018
About A year ago

Charles de Lastic

8:41 AM, 1st August 2018
About A year ago

Can I buy Mother's house in installments as IHT planning?

Kate is totally correct.

I have had to deal with a number of cases when people end up paying more tax because they had not sought experienced advice... Read More

Charles de Lastic

10:14 AM, 31st July 2018
About A year ago

Can I buy Mother's house in installments as IHT planning?

Hi Xia
Please do not take this as actual advice but I am an IHT specalist but cannot give advice to a non domicile or anyone else without fully understanding their circumstances.

That being said there are a number of issues you need to be wary of.
The advice will be highly dependent on the values of her estate and the property.
I presume that you have already calculated that your mother actually has an IHT liability. She will be entiteld to a normal Nil rate band and also the new Residential nil rate band.
If she has other properties but in your sibling's names who is receiving the income as that may raise an issue.
If you do buy the property from her you will have to ensure it is an "arms length transaction for correct market value. I addition she will have to pay you market rent which will be liable to UK income tax unless it falls below the annual allowance. Also on the eventual sale the share of the property not owned by her will be liable to CGT.
Make sure you get good advice before proceeding... Read More

Charles de Lastic

13:54 PM, 23rd April 2018
About 2 years ago

Should I invest my pension lump sum in another buy to let?

The very fact that you ask the questions means you need to get experienced help and advice on this as there are too many factors to take into account.
Ideally, use a financial planner who will charge you a fee.
You need to consider all of these factors and probably more.
What is your income requirement now and in the future
What are your assets worth?
What income can they produce if any?
What are your long-term cash flow assumptions for inflation and growth on your assets
What is your attitude to investment risk
Should you use full drawdown, an annuity or deferred annuity
What is the income potential and cost of the property return against the pension
You could make more on the property but as you know you could lose more too - what is your capacity for loss.
Do you even have an IHT problem or are you likely to have one?

Get experienced advice before deciding. Making errors at this stage of your life could have serious consequenses.... Read More