David Forsdyke

Registered with Property118.com
Saturday 3rd August 2019

Trading Status
Joint

Insures properties through a broker recommended by Property118
No


Latest Comments

Total Number of Property118 Comments: 2

David Forsdyke

15:28 PM, 3rd August 2019
About 2 months ago

Can Lifetime BTL Mortgages be used to accelerate our plans?

Thanks Mark. I hope you're right. An accountant or tax expert should be able to confirm. Do look me up if you need any further help. David... Read More

David Forsdyke

15:04 PM, 3rd August 2019
About 2 months ago

Can Lifetime BTL Mortgages be used to accelerate our plans?

Hi
I used to work for the FCA and am regarded as an expert in Lifetime Mortgages. I regularly give advice to clients. You have set out a very reasoned argument and no I don't think you're missing anything, although I'm not sure you can get the 20% tax credits you mention when the interest is rolling up (the rules say 'interest payment' and with roll up there is no payment). However, there are a couple of things I would strongly recommend you ask yourselves and your family;
1. Do your children & grandchildren need £800,000 now? or would they rather inherit more later? Yes it would be nice to see them enjoy it now, but there is a risk that you (and they) might regret the decision later.
2. Do you have other assets you could fall back on if you need to pay for care or have other unforeseen needs in the future? You'll be kicking yourselves if you find you need the money 10 years from now and can't borrow more.

The other thing I would mention is that there are not many lenders offering lifetime mortgages on buy to let properties at the moment, but I think that might change over the next few years, which could improve the price of products being offered.

Technically they aren't actually 'Lifetime mortgages' on a buy to let because of the way the FCA defines that term, but they work in a similar way.

I hope that's helpful.... Read More