DrPhil
Outstanding Member
Been having the discussion with a friend in work. He was left an inheritance recently. Has cleared his mortgage and has just shy of £100k sitting in the bank. Nice pot to have in the bank, but for me, unless it is put to good use it isn't going to make much of an impact long term. I'd want to make that money do as much as possible in order to eventually get me into retirement earlier but he's happy to put it into a low risk savings account and watch the interest come in.
I'd be more inclined to invest in property. A few friends of mine are heavily into property investment, and use as little of their own money as possible to buy property with mortgages and have as many rental incomes as possible coming in. Not sure I'd have the cajones for that but I would certainly buy 2 houses for rental purposes. He could pay off the mortgage within about 15 years and from there on it's clear profit, even if he never sold the house again.
Neither of us would have the balls to get into stocks etc, lol.
So is there a right answer?
I'd be more inclined to invest in property. A few friends of mine are heavily into property investment, and use as little of their own money as possible to buy property with mortgages and have as many rental incomes as possible coming in. Not sure I'd have the cajones for that but I would certainly buy 2 houses for rental purposes. He could pay off the mortgage within about 15 years and from there on it's clear profit, even if he never sold the house again.
Neither of us would have the balls to get into stocks etc, lol.
So is there a right answer?