I guess many people in my generation ie born in the 7o's are thinking like me, "what the hell am I meant to do about retirement!" I look at my parents and see them still having to work even though they saved into a pension fund their whole life.
With pension funds being swallowed up, or not preforming like that should, with Gordon Brown still charging crazy taxes on inheritance and capital gains on 2nd properties. What should our generation do...
I see properties as the only way I can control my money, I certainly don't trust any 3rd party company to manage my future, they have only one goal and that is to make money for themselves. With properties in Scotland still rising at a incredible rate, they still seem the best option for a UK investment in my opinion. Of course properties will go up and down, you only have to look at the 80's and 90's but at least they go up over long periods of time say 25 years. I think my parents first house cost them £2000.
Another reason I like to invest in property is if I get a tenant in, they are actually paying for my pension. Of course when you don't have a tenant you have to cover the mortgage, but that's ok cos I would have been paying into a pension fund if I didn't invest in property.
The only thing that worries me is for example the amount of flats for sale in Edinburgh is massive. I don't understand why someone would want to buy one of these new tiny flats... after about 5 years they look awful from outside as the paint starts to fall off. Some of the blocks of flats have been bought by one person which is very scary, if they have a problem covering the mortgages and have to sell quickly, will that drive the prices down on properties?
Banks seem to be keen to lend money, offering cheap mortgages and at sometimes 6 times the amount of someone's gross income. I believe for me property is the best pension fund, if done correctly you can use the banks money to create a great portfolio / pension.