Should we rent it out or sell it?

Seafarer1066

Hi

What do you guys think about this,

Me and my wife live in a little 1 bed that is currently worth about £70-75,000 in the current market.

Our current mortgage is just under £45,000. I am making over payments at the moment on our 6.09% mortgage (currently £50 per month) but I hope to increase this to £100-£150 per month when we either remortgage in June or just stay on the SVR for a while.

Anyway I am working full time and my wife is a full time student but she graduates next year. When she starts work we will be looking at buying a house for about £160,000 (obviously using her income as well).

The the thing is that I would love to keep our little flat as an investment and just rent it out but I am not sure how I can do this and get enough of a deposit together to buy the next place.

Has anyone any good advice for us? I am not a real money man and have never rented out a property before but I just think that in the future I might really regret selling the flat as it has great rental potential (it is right near a university).

What do you think the best thing to do is?

or in fact should I try just take the easy option and sell the flat? :j:j:j

lincroft1710

As your wife will not be working for well over a year, the time to make such decisions is at that time - your flat may be worth more or less than current value and what now costs £160K also may cost more or less.

Seafarer1066

thanks lincroft

good point I was thinking ahead really but i see what you mean, who knows what will happen.

Christ I hope prices don't fall too much more I don't want to be in negative equity!!!