IFAs have highlighted the dangers to investors of placing part of their SIPP in off-plan overseas hotel developments, arguing the advice process is blighted by unfair commission charges, a lack of due diligence and transparency concerns.
SIPP investments in residential property are subject to harsh tax penalties, but investment in commercial properties, such as hotel rooms, is permitted as long as the investor does not then own the room...
'People miscalculate how much they need'
Information request by AJ Bell
Could lose 97% of investment
'Document your conversations'