How to move house but keep existing home as a buy to let

Lollipop808

Hi - we are thinking about moving house, but we would really like to keep our existing home and rent it out.

We are guessing we would need to save more to do this, but here is our position:

House worth around £360k
Mortgage is £220k
A new home would be around £430k

Would we be able to use the equity from our current home as a deposit for our new house or not? Any guidance would be appreciated. We are happy to wait and save and let our home increase in value if it looks like this plan could be possible.

Thank you.

getmore4less

try adding some numbers.

cash.
income
rent


Most you could raise on the current place around £50k that only gives 90% LTV and needing another loan of £390

you can only use equity to raise hard cash people like money for their houses.

Lollipop808

Thanks for your reply.

Our income jointly is £75k and the property would rent for around £1400 pcm.

We don't have much in the way of savings so perhaps this isn't an option for us.

HappyMJ

Lollipop808 wrote: »

Hi - we are thinking about moving house, but we would really like to keep our existing home and rent it out.

We are guessing we would need to save more to do this, but here is our position:

House worth around £360k
Mortgage is £220k
A new home would be around £430k

Would we be able to use the equity from our current home as a deposit for our new house or not? Any guidance would be appreciated. We are happy to wait and save and let our home increase in value if it looks like this plan could be possible.

Thank you.

I would consider buying earlier rather than later. If prices were to increase by 10% you will need to save more money to buy the other house as that has also increased by 10%.

getmore4less

4.7% gross yield is not that good for all the hassle that comes from being a landlord(you have looked at what is involved?).

How much can you save now your mortgage will £170k bigger a small rate rise and it is double your cuurent payments.