ibis
Banned Member
Posts: 1,376
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Post by ibis on Jan 24, 2022 15:49:19 GMT 1
Do you not also lose a big portion of the selling price to the tax man when you sell it to fund your retirement?
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Post by tim17 on Jan 24, 2022 16:02:49 GMT 1
Property only really works if you get an income from it, you could of course have bought something 30 years ago which is now worth £1 million+ but you'll need to sell to release the equity. They'll be no tax if it is your main home but then you've got to live somewhere and what do you do with the proceeds, buy an annuity or live off the cash?
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Post by omegal on Jan 24, 2022 17:48:36 GMT 1
Like many who have saved by way of "building" your retirement fund by way of bricks and mortar, you downsize and use the large sum remaining to add to your OAP pension. No CGT on ones personal residency. What you do with the remaining sum is entirely up to you. We are spending ours, we see no point in working hard to build a "pot" to worry where you are putting the money next, especially now with the interest rates on the floor but we have put some of it away in a low to medium risk fund.
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Post by Polarengineer on Jan 25, 2022 11:39:24 GMT 1
Here I have recently planted my kids pension pot in the form of 5 hectares of forest. It is still a risk from storms and fire, so fingers crossed.
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exile
Member
Massif Central
Posts: 2,685
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Post by exile on Jan 25, 2022 12:36:56 GMT 1
All good points but not with reference to the State pension.
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Post by houpla on Jan 25, 2022 13:03:38 GMT 1
Like many who have saved by way of "building" your retirement fund by way of bricks and mortar, you downsize and use the large sum remaining to add to your OAP pension. No CGT on ones personal residency. What you do with the remaining sum is entirely up to you. We are spending ours, we see no point in working hard to build a "pot" to worry where you are putting the money next, especially now with the interest rates on the floor but we have put some of it away in a low to medium risk fund. In France, that's where the 'en viager' scheme would come in, without the need to downsize unless you want to. Even the income from that is taxed, though
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Post by omegal on Jan 25, 2022 19:49:22 GMT 1
houpla, in my view En viager is fine if you have no one to leave your property to and the person would like to have some money and an income for themselves but it is not really a viable way for someone who has saved money, like the way us and others have done and have children to leave it to in your will.
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Post by houpla on Jan 25, 2022 20:22:39 GMT 1
I thought that too, omegal, until recently. Reading up on it, though, it seems that a lot of French are using it as an equity release scheme to enable them to pass on the money to their offspring during their lifetimes.
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Le-Dolly
Member
La Souterraine (23) depuis '05.
Posts: 569
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Post by Le-Dolly on Jan 25, 2022 20:24:21 GMT 1
When we landed in '05 we bought a large property, in excess or 600²M, which we we have converted, over that time, to nine large apartments for rental. We also purchased a couple of lineside cottages (former level crossing houses). That portfolio is now an addition to my UK, French, Moroccan and Thäi OAP pensions. The OH's Uni fund has now come to fruit and without bothering the capital, throws in another 12 large per annum. Other than camping we did not take any 'olidays until a couple of years ago, until we knew where we stood. There are no children to make a claim on anything, though there does seem to be quite a few family members that seem to think that we should port anything and something their way. As eck as like.
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Post by omegal on Jan 25, 2022 21:00:02 GMT 1
When we landed in '05 we bought a large property, in excess or 600²M, which we we have converted, over that time, to nine large apartments for rental. We also purchased a couple of lineside cottages (former level crossing houses). That portfolio is now an addition to my UK, Moroccan and Thäi OAP pensions. The OH's Uni fund has now come to fruit and without bothering the capital, throws in another 12 large per annum. Other than camping we did not take any 'olidays until a couple of years ago, until we knew where we stood. There are no children to make a claim on anything, though there does seem to be quite a few family members that seem to think that we should port anything and something their way. As eck as like. Best check with a Notaire as to what will happen when the inevitable happens (to us all I may add) under French laws you may well find the people you would prefer not to get anything from your demise, might well be the ones that do indeed gain.....
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