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Moving house: Sell old house or Let out
dyoung87
Posts: 10 Forumite
Hello,
Relatively new here and sorry if I'm repeating a question.
Currently living on my own and looking at moving home due to a work relocation. I've been doing some research and spoken to a few estate agents advisors.
I've been given a few options. One a straight forward sell, and buy a new house.
Or
Let my current house on a let to buy, (either Interest Only or Repayment) and move into a new house.
Im 28 and my current house was my first purchase and I'm a little nervous about the risks of renting out the house. If I was to let on interest only the rent from my house would cover both mortgages, if I was to let on repayment I'd have to pay £150pm to cover the extra on both mortgages.
At first it sounded like a no brainer, but I'm starting to weigh up the options of the costs of having no tenant, fee's for renting out the property (possibly every 6 moths worst case), and any other costs for running the property.
I'd appreciate any help or advise on this situation or if anyone one else has been in a similar position.
Thanks in advance.
Dave
Relatively new here and sorry if I'm repeating a question.
Currently living on my own and looking at moving home due to a work relocation. I've been doing some research and spoken to a few estate agents advisors.
I've been given a few options. One a straight forward sell, and buy a new house.
Or
Let my current house on a let to buy, (either Interest Only or Repayment) and move into a new house.
Im 28 and my current house was my first purchase and I'm a little nervous about the risks of renting out the house. If I was to let on interest only the rent from my house would cover both mortgages, if I was to let on repayment I'd have to pay £150pm to cover the extra on both mortgages.
At first it sounded like a no brainer, but I'm starting to weigh up the options of the costs of having no tenant, fee's for renting out the property (possibly every 6 moths worst case), and any other costs for running the property.
I'd appreciate any help or advise on this situation or if anyone one else has been in a similar position.
Thanks in advance.
Dave
0
Comments
-
do you have the deposit for the new property or do you need equity from current property?
have you factored in the additional 3% stamp duty as you will then own 2 properties?
do you really want to be a landlord? (sounds like no)0 -
Have you done the maths? I mean all the maths?
And looked into being a landlord?
* New landlords: advice, information & links
* Letting agents: how should a landlord select or sack?0 -
I have to say that when I rented my house out when I went abroad for a couple of years, I ended up with much less than i expected once fees etc were taken off, make sure you work it all out beforehand...First win (October) - Apple Ipod off a radio competition
November - new nokia mobile phone, £250 electrical voucher (both radio comptitions)
March - 2 cinema tickets to see 27 dresses (radio again!)
:beer: :beer: :beer:0 -
If I was to let on interest only the rent from my house would cover both mortgages,
Have you taken tax into account?
What if the property is empty or the tenant fails to pay the rent due. How would your finances cope them.
Are you prepared to travel to the property to rectify issues or will you be employing an agent?0
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