As already outlined, there are several restrictions on buying property with your pension. It’s useful to group them all here.
The property cannot be bought from someone who is connected to you – either through family, business or personal friendship. You must be at a distance from the purchase.
Similarly, you cannot sell or give the property you do buy to a family member or close business or personal acquaintance.
The property must be for investment uses – it cannot be your primary home. Nor can you use it as a premise for your own business.
You cannot buy a property for development and quick resale. You must be buying for long-term investment rather than what’s known as “flipping”.
However, once those considerations are met, the property market for pension purchasers is very attractive. For example, you can buy as part of a group, you can buy residential or commercial properties, and, in some cases, you can take a loan to help fund the purchase of your property if your pension pot doesn’t completely cover the cost of the purchase (see below).