What to do with £80,000 ?

[amy 20 10]

What would you do with £80,000 ? What is the best thing to do with it, how much interest would you get a month leaving it in a standard account and what would be the best account to stick it in for a year ? Thanks for any info.

[max 13]

A cash ISA may get you 3% but you can't put more than £5,640 in this year. Most saving accounts are less than that, about 2.5% for a decent one which, after tax (at 20%), would give you £150 pcm.

Edited August 23, 2012 by max

[amy 20 10]

A cash ISA may get you 3% which but you can't put more than £5,640 in this year. Most saving accounts are less than that, about 2.5% for a decent one which, after tax (at 20%), would give you £150 pcm.

Is that all you get, about £1000 every 6 month ? I was hoping for at least 5k a year.

[max 13]

Is that all you get, about £1000 every 6 month ? I was hoping for at least 5k a year.

 

Sorry, it's even less than that, £133 pcm (my sums were wrong). In order to get £5,000 pa after tax you'd need an interest rate above 7.5% which is only possible if you're prepared to take risks.

[Redyam 10]

I'd buy a cheapish house that needs doing up, modernise it, then rent it out. House prices aren't likely to fall too much, and you'll get a good amount of incoming money each month.

[amy 20 10]

I'd buy a cheapish house that needs doing up, modernise it, then rent it out. House prices aren't likely to fall too much, and you'll get a good amount of incoming money each month.

The average rent for a house that price is £400-£500 pcm. I would probably have to register as a landlord, i would need to have insurance and save for any repairs, plus yearly boiler checks and any other costs. So renting just one house out is not that promising.

[Lucyjackson 10]

Personally I would buy into gold, the financial markets are on the verge of collapse and money will become worthless pretty soon

[RED ALERT 10]

You would be better getting a mortgage using the 80k as collateral then buy a house,modernise and sell back on at a profit using a mortgage which only charges interest for the time you have it....

No registering as a landlord and fairly quick turnover of a hefty profit.Then possibly do the same thing again with 2 houses as you have more collateral.Cut me in if you make a wedge using this idea lol

[bears9h 10]

I would buy standard life shares, they pay a good dividend and are doing well, by the way I'm not a financial advisor so don't sue me.

 

I bought £2k worth last march and sold them this week for £2800 and had approx £150 in dividends.

 

just remember it's a gamble.

 

Other than that you could always just give me a few hundred quid to help me with my new fence.lol.

[tinfoilhat 11]

I'd go bonkers on it, proper bonkers. Travel the world, parties - awesome. Or you could put it in bonds - nearer 5% and some give you access to the money as well.

 

What you really need is an independent financial advisor.

[ANGELFIRE1 10]

Bonds, safe and 3% interest.

 

Angel.

[scottf 21]

Clear all your debts and head off round the world for as long as possible!!!