Forget buy-to-let! I’d invest £10k in cheap UK shares in an ISA today to retire early


first_img Our 6 ‘Best Buys Now’ Shares Enter Your Email Address Forget buy-to-let! I’d invest £10k in cheap UK shares in an ISA today to retire early Simply click below to discover how you can take advantage of this. I would like to receive emails from you about product information and offers from The Fool and its business partners. Each of these emails will provide a link to unsubscribe from future emails. More information about how The Fool collects, stores, and handles personal data is available in its Privacy Statement. Image source: Getty Images. The prospects for buy-to-let may appear to be better than UK shares, at first glance. The government’s stamp duty holiday (and other support schemes) may help provide growth for house prices in the short run. That is an appealing idea while a second market crash looms over the FTSE 100 and FTSE 250.However, the bargain status of many stocks, the ability to reduce your tax bill, and the prospect of being able to invest more modest amounts than through buy-to-let, could mean now’s the right time to invest £10k, or any other amount, in the stock market. Over time, doing so could help you to retire early.5G is here – and shares of this ‘sleeping giant’ could be a great way for you to potentially profit!According to one leading industry firm, the 5G boom could create a global industry worth US$12.3 TRILLION out of thin air…And if you click here we’ll show you something that could be key to unlocking 5G’s full potential…Cheap UK sharesAfter the recent market crash, there are many cheap UK shares on offer across a wide variety of sectors. Buying them today could allow you to obtain an even greater rate of return than the stock market’s long-term average, since you may benefit to a great extent from its recovery potential.For example, investors who purchased FTSE 100 shares following the index’s long history of bear markets benefitted from the stock market’s low prices. After every market crash, it’s always gone on to record new all-time highs. That prospect may seem unlikely at present, due to risks such as a continued rise in coronavirus cases. But, in the coming years, fiscal and monetary policy stimulus have the potential to significantly raise the valuations of high-quality businesses.By contrast, house prices lack margins of safety compared to UK shares. Affordability concerns may be eased by government support schemes, such as the stamp duty holiday. However, the fundamentals of the housing market appear to be relatively weak. Indeed, they’re not currently fully reflected in house prices. Therefore, returns for buy-to-let investors may be somewhat disappointing compared to those of FTSE 100 and FTSE 250 shares.AccessibilityInvesting in UK shares is a more accessible strategy than undertaking a buy-to-let investment. An investor can buy relatively small amounts of stocks to benefit from the stock market’s growth prospects. However, a large deposit is required to buy just one property. This may mean that many landlords’ portfolios lack diversification.Furthermore, with products such as a Stocks and Shares ISA being simple and cheap to open, shares offer greater tax efficiency than buy-to-let investments. Over time, this could mean that their net returns are significantly higher than those on offer from within the property sector. Especially as many government schemes are temporary in nature.UK shares have greater tax efficiency, accessibility, and value for money than buy-to-let investments. They could prove to be a better means of building a retirement nest egg. And they may help to bring your retirement date a step closer as the stock market gradually recovers from its recent market crash. Renowned stock-picker Mark Rogers and his analyst team at The Motley Fool UK have named 6 shares that they believe UK investors should consider buying NOW.So if you’re looking for more stock ideas to try and best position your portfolio today, then it might be a good day for you. Because we’re offering a full 33% off your first year of membership to our flagship share-tipping service, backed by our ‘no quibbles’ 30-day subscription fee refund guarantee. I’m sure you’ll agree that’s quite the statement from Motley Fool Co-Founder Tom Gardner.But since our US analyst team first recommended shares in this unique tech stock back in 2016, the value has soared.What’s more, we firmly believe there’s still plenty of upside in its future. In fact, even throughout the current coronavirus crisis, its performance has been beating Wall St expectations.And right now, we’re giving you a chance to discover exactly what has got our analysts all fired up about this niche industry phenomenon, in our FREE special report, A Top US Share From The Motley Fool. “This Stock Could Be Like Buying Amazon in 1997” Click here to claim your copy now — and we’ll tell you the name of this Top US Share… free of charge! Peter Stephens | Friday, 7th August, 2020 See all posts by Peter Stephenslast_img

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