Long term investment - commercial v residential property

Discussion in 'General Business Forum' started by Maxwell83, Jul 11, 2019.

  1. Maxwell83

    Maxwell83 UKBF Regular Free Member

    542 123
    I have just sold my residential BTL, and am exiting a business that has 2 residential HMO's (supported accommodation).

    I want to re-invest in property probably next year, but I have lost my attraction to residential - perhaps a combination of the second house SDLT, the tax treatment of landlords mortgage interest and the general pain in the ass-iness of managing residential properties (especially the HMOs).

    What are the pros and cons of investing in commercial property vs residential? What sort of level of investment is recommended for a novice to begin with?

    I would probably put any commercial property in a pension - that being my main goal for the investment; I am not looking for income, just capital growth.

    So stick with what I know (and don't love) or is commercial worth looking at?
     
    Posted: Jul 11, 2019 By: Maxwell83 Member since: Aug 4, 2012
    #1
  2. WaveJumper

    WaveJumper UKBF Enthusiast Free Member

    564 98
    Commercial property held in a pension fund gets my vote
     
    Posted: Jul 11, 2019 By: WaveJumper Member since: Aug 26, 2013
    #2
  3. WaveJumper

    WaveJumper UKBF Enthusiast Free Member

    564 98
    If you stick commercial property held in pension fund in the search box up top you will find quite a few threads on this topic
     
    Posted: Jul 11, 2019 By: WaveJumper Member since: Aug 26, 2013
    #3
  4. TheoNe

    TheoNe UKBF Regular Full Member

    135 12
    I would agree that ownership of commercial property through a pension fund is a great idea. There are a lot of pros from tax benefits, capital growth, borrowings and the security provided by collective purchase.
     
    Posted: Jul 12, 2019 at 12:51 PM By: TheoNe Member since: Jul 6, 2019
    #4