Mortgage advice please??

Gubba21

Hi all, I have got two mortgages on two houses not through choice. I bought a house to extend and sell on but eventually moved into after loving the layout but couldn't get my other hose sold due to the market crash. Currently renting out but this is amusing me a dilemma and looking for advice.

On the house I stay in I have a mortgage of around £138000 which is a offset mortgage at 1.99% costing around £200 a month on interest.

On my other house which I rent out I have a mortgage of £158000 which costs me £657 a month on interest only and I am only able to achieve £625 a month on rental income.

I have shares that are worth over £100000 if I were to sell along with savings of around £20000. I could also take money from my existing mortgage of £138000 up £154000 allowing £16000 that could reduce my rental mortgage.

My question is, should I look to reduce my rental mortgage by selling shares which has capital gains implications, use my savings and take the extra money out on my existing mortgage which has a rate of 1.99% potentially saving me money or try and pay off some of each mortgage by using savings/share sales?

Really don't know what is the best route is to go down and would appreciate some expertise advice?

Thanks

Annisele

Is the house you're not living on on a buy-to-let mortgage or do you just have consent-to-let? And if it's CTL, when does that expire?

You might be better off selling the let house (and taking the hit on the price) rather than having it bleed money every month.

Gubba21

Hi, it's on a consent to let that is yearly and is done around sept each year. I though about trying to sell and taking the hit, but thinking the hit would be too much and not be enough to cover the mortgage that's outstanding. Thought if I could hold onto long enough that house prices will begin to rise again, but who knows when that will be. also the issue I had with selling was the current tenants might leave know I am selling and that might end up with no tenants paying the mortgage and costing me even more?