Mortgage options

Pee

I own a house worth about £250,000 with a £73,000 mortgage on it. I've had a mortgage for about 17 years, never any problems paying it. I'm currently renting it out for £500 a month, which I know is less than it should be.

I am renting and landlord, who is a friend, is being a bit funny and I am worried about them putting the rent up/ having some big renovation idea and am just thinking I would prefer to own the house I live in. I'd be looking for about £150,000 for a house worth that amount.

My salary is £31,500 with bonuses this is usually about £40,000.

It would just be taking into account my earnings as boyfriend wouldn't be a co-owner and is anyway self- employed and under employed due to the economy, or has been under employed for the last several years.

Is this at all doable?

For reasons I won't go into whilst I could put up the rent a bit providing a safe cheap home for my tenants is important i.e. they aren't random strangers.

Wh05apk

The most you would get would be 90% LTV on the new property, although most lenders restrict 2nd properties to 80-85% LTV, rates at this LTV would be high, so your best option would probably be to raise further deposit on your current property, allowing you to borrow say 75% on the new one.

There are options here, but would likely involve both properties, so best to contact a broker and look at all options.

Thrugelmir

Pee wrote: »

For reasons I won't go into whilst I could put up the rent a bit providing a safe cheap home for my tenants is important i.e. they aren't random strangers.

Why not buy a cheaper BTL for them to live in. While you occupy property. Far more tax efficient.