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Advise please - retired needing a mortgage
Options

mkbswimstar
Posts: 236 Forumite
Please can someone help as my brain has stopped working.
A family friend has a property up north that is not selling and wants desperately to move down south.
She is 65 and retired with the state pension and a private one bringing in a total of £700 a month.
She has a partner who retires in 5 years and he works earning £1085 take home a month. (He is renting a room down south).
The property up north is worth £170k on a good day and this is unmortaged. There are no savings. The possible rental income on this would be £525 a month.
The properties down south are around £250k.
Using a basic mortgage calculator not telling it the income is pension, it worked out they could borrow £42k.
£250k (buying) - £160k (selling after fees) = mtg needed of £90k.
Is there a way she can keep the property up north and let is out and release money for a residential mtg down south?
Could she keep up north and have a buy to let mtg down south?
The rental income down south on a £250k property is £750-800pm.
If up north sells can she get a buy to let mtg down south and therefore borrow more?
Am I missing a trick at all?
Or another solution is to rent up north out (if it doesnt sell) and use the money to pay part of the rent down south and therefore lower her outgoings down here. She still keeps a property, and rents where she actually wants to live.
Can anyone help with this conundrum.
Thank you in advance.
A family friend has a property up north that is not selling and wants desperately to move down south.
She is 65 and retired with the state pension and a private one bringing in a total of £700 a month.
She has a partner who retires in 5 years and he works earning £1085 take home a month. (He is renting a room down south).
The property up north is worth £170k on a good day and this is unmortaged. There are no savings. The possible rental income on this would be £525 a month.
The properties down south are around £250k.
Using a basic mortgage calculator not telling it the income is pension, it worked out they could borrow £42k.
£250k (buying) - £160k (selling after fees) = mtg needed of £90k.
Is there a way she can keep the property up north and let is out and release money for a residential mtg down south?
Could she keep up north and have a buy to let mtg down south?
The rental income down south on a £250k property is £750-800pm.
If up north sells can she get a buy to let mtg down south and therefore borrow more?
Am I missing a trick at all?
Or another solution is to rent up north out (if it doesnt sell) and use the money to pay part of the rent down south and therefore lower her outgoings down here. She still keeps a property, and rents where she actually wants to live.
Can anyone help with this conundrum.
Thank you in advance.
0
Comments
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You cant get a BTL mortgage for the one shes going to live in.
theres potential to get a LTB mortgage up north to release some equity to put down on the property down south.
Although you would likely still have a short fall to sort outI am a Mortgage Adviser
You should note that this site doesn't check my status as a Mortgage Adviser, so you need to take my word for it. This signature is here as I follow MSE's Mortgage Adviser Code of Conduct. Any posts on here are for information and discussion purposes only and shouldn't be seen as financial advice.0 -
mkbswimstar wrote: »The properties down south are around £250k.
Think smaller perhaps.0 -
How much do you think she could get out of a let to buy please?0
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Depends on the lenders rental cslculation.
Best to have her speak to a broker to get her options explained clearlyI am a Mortgage Adviser
You should note that this site doesn't check my status as a Mortgage Adviser, so you need to take my word for it. This signature is here as I follow MSE's Mortgage Adviser Code of Conduct. Any posts on here are for information and discussion purposes only and shouldn't be seen as financial advice.0 -
Age is going to be a big problem i suspect.£1000 Emergency fund No90 £1000/1000
LBM 28/1/15 total debt - [STRIKE]£23,410[/STRIKE] 24/3/16 total debt - £7,298
!0
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