The Pros and Cons of a Buy to Let Property v a Pension

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1 – Buy to lets


  1. You make sure you are diversified into property
  2. Your capital is retained (unlike an annuity)
  3. There is good income opportunity as well as potential for growth


  1. Cost of buying
  2. Rental income is not guaranteed i.e. rental void
  3. Tax
  4. Maintenance of property and legal responsibilities
  5. Time taken to manage property
  6. Cost and time to sell

2 – Pensions


  1. Excellent tax incentives
  2. Diversified portfolio to suit appetite to investment risk
  3. Good potential for growth over long term
  4. IHT position
  5. Wide ranging retirement options and liquidity


  1. Growth not guaranteed
  2. Legislation can change re tax incentives
  3. Cannot access until 55
  4. No guarantee of good annuity rates for the risk averse


Always speak to an Independent Financial adviser to ensure you are investing  in line with your circumstances, objectives and your appetite for risk.

Please note that with property as a mortgage is secured against property your home may be repossessed if you do not keep up repayments. Pensions are a long term

Investment and the capital invested can go down as well as up. You may not get back the original amount invested.


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