How to Make Unlimited Tax Free Wealth Part 5

Refinance This is relatively straight forward, most Buy-to-Let lenders will allow you to borrow more if the rent is sufficient to cover the mortgage plus a bit. They will stipulate that the rent is 130% to 150% of mortgage payments. They will also want a revaluation and administration fee. The big proviso for the plan…

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How to Make Unlimited Tax Free Wealth Part 4

Wait for prices to go up This is the crunch part of the plan. If prices don’t go up, the plan won’t work (unless you bought substantially below market in the first place). I’ve heard it said that house prices double, on average, every seven to ten years. Looked at another way, average house prices…

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How to Make Unlimited Tax Free Wealth Part 3

Let it out at a rent that covers all costs This isn’t necessarily as easy as it sounds, because yields and capital growth often work against each other. It is generally true that the higher the yield, the less expectation there is in the market of capital growth. Conversely, the higher the likelihood of capital…

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How to Make Unlimited Tax Free Wealth Part 2

Is the plan I outlined in the Part 1 to make unlimited tax free wealth realistic? Actually, I think it is, but there are a few practical issues which need further thought and attention if the investor is to stay on track. Let’s have a look at these now under these headings: Buy a property…

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How to Make Unlimited Tax Free Wealth Part 1

Robert Allen, self made American property millionaire and guru, in his excellent book ‘Nothing Down for the 1990s’, suggests an interesting plan by which we can all retire early and live off a plentiful supply of untaxed income. Does this sound too good to be true? Well, actually, it probably isn’t, although there are some…

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