remortgage

specious

Hello forumites.

Looking for any thoughts on my plans. I've a house worth £250k. Outstanding mortgage £8k. On 40k.

I'm 56 in the LGPS - with about 34 years service. No imminent plans to retire but would if the offer was right.

Looking to downsize or move downmarket at retirement and realistically will have to move to a cheaper area. Been looking and found a Georgian property in need of some work, but cheap - roughly £80k.

We're considering buying the new property and keeping our house as well by remortgaging our current property. Looking at taking £85k from Nationwide. They are willing to let me take a mortgage to 75th birthday and to use the money to buy another property. (not to let - but we don't intend that anyway) 3 year fixed, 2.04% no fees. £500 cashback.

Running two houses will be a challenge. We still have one child at university. It will mean cutting back on holidays - generally using new house as a holiday home. Eventually at retirement I'll sell our current home.

Any thoughts on this plan?

Thrugelmir

Unless you intend using the property on a frequent basis. I wouldn't consider borrowing money to fund a holiday home.

specious

Thanks. It would be intended as a retirement home -renovation project. Houses there have been sticking in recent times, so there are deals to be had. The advantage at the moment would be the ability to put in low offers and walk away if they didn't accept. It's also about 6 miles from my parents who are in their 80s. At the moment we are over 50 miles away. I'd see us being there most weekends and 4 weeks or so a year.

It's taking a punt on property prices, both here and there and would be a bit of a stretch though.