remortgaing to get deposit good idea?

Boingsaidzebedee_2

I have been advised to remortgage my property to gain a deposit for a new property. This sounds very risky to me! What do you think? My mortgage is interest only and I struggle to pay my rent every month as it is.

dancingfairy

If you remortgage surely your monthly mortgage payment may well go up? if you're struggling now , how is that going to help?
Are you planning on upsizing or downsizing? I can see it sort of working IF your remortgage on a really good deal (taking account of the fees involved etc) and you downsize otherwise it seems like storing up trouble for yourself in the future.
Would you be looking to port the mortgage to the new place? If not then presumably having a bigger mortgage will make you less desirable to get a decent mortgage on the new place not to mention that I would assume questions will be asked about where the deposit has come from etc.
I suggest selling up and going into rented for a bit may well be an easier way to do things.
I may be wrong and I am happy to be corrected by someone who knows more about these things than I do but to the outsider it doesn't seem like a great plan.
df

geoffky

is there much equity in the house you have now.?.after all the fees