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  • FIRST POST
    • Fedupoflease
    • By Fedupoflease 9th Oct 16, 5:55 PM
    • 9Posts
    • 0Thanks
    Fedupoflease
    Let to buy or let to rent?
    • #1
    • 9th Oct 16, 5:55 PM
    Let to buy or let to rent? 9th Oct 16 at 5:55 PM
    I'm letting out my only property and happy to continue with this arrangement. I'm currently re mortgaging as buy to let for £126k which will give me £65k cash. I am also owed £34k being paid back about £1k a month.

    The property is leasehold with 63 years unexpired and it's complicated as there is a head lease so I think I need a solicitor to do a statutory extension at some point.

    I currently rent a room at a mates but would like my own space soon, so I wondering whether to buy somewhere to live with the £65k and save up the £34k I'm owed to extend the lease in 2-3 years?

    Alternatively I could extend the lease now with £25k of the £65k and have £30k remaining and save to buy again in 2-3 years. If I take this route I'm stuck at my mstes or will have to rent privately for my own space.
    Which way round to do it??
Page 1
    • Pixie5740
    • By Pixie5740 9th Oct 16, 6:57 PM
    • 8,849 Posts
    • 11,857 Thanks
    Pixie5740
    • #2
    • 9th Oct 16, 6:57 PM
    • #2
    • 9th Oct 16, 6:57 PM
    The longer you don't do something about that lease the less the flat is worth. Either extend the lease and keep letting it or sell it as the lease extension can be tied in with the sale.
    Annual income twenty pounds, annual expenditure nineteen pounds nineteen and six, result happiness. Annual income twenty pounds, annual expenditure twenty pounds nought and six, result misery.
    • Fedupoflease
    • By Fedupoflease 9th Oct 16, 9:23 PM
    • 9 Posts
    • 0 Thanks
    Fedupoflease
    • #3
    • 9th Oct 16, 9:23 PM
    • #3
    • 9th Oct 16, 9:23 PM
    I tried to sell it for the last 4 months but only had one offer and they changed their mind when considering the lease extension so I'm stuck with the place!
    • deannatrois
    • By deannatrois 9th Oct 16, 10:36 PM
    • 4,323 Posts
    • 6,018 Thanks
    deannatrois
    • #4
    • 9th Oct 16, 10:36 PM
    • #4
    • 9th Oct 16, 10:36 PM
    Sounds like the lease extension is your first priority then. When will you and how likely are you to get the £34k back?
    • Fedupoflease
    • By Fedupoflease 9th Oct 16, 10:43 PM
    • 9 Posts
    • 0 Thanks
    Fedupoflease
    • #5
    • 9th Oct 16, 10:43 PM
    • #5
    • 9th Oct 16, 10:43 PM
    I'm currently getting 1k back a month
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