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Too many options, HELP!
bianchigirl
Posts: 40 Forumite
Hi all,
Hope I'm putting this in the right place.
I have a big move coming up in the next few months and struggling to decide what to do.
Background
I'm 31, have a partner and 2yo dependant. Annual income £30k, no debts, great credit score, £10k savings plus £5,200 LISA. Very safe job, no risk of redundancy and no plan to leave before I'm 40 at least.
Partner will be unemployed when we move, but has a house he lets. This is mortgaged at £48k, rent in is £550 pcm, house value £120,000
I own house, mortgage £68,000, rent potential £650pcm, house value £125,000
We will be moving into a house 2 hours away from our current home with my work, costing around £280 including council tax but not bills.
Houses in the area can be pretty cheap and rent easily.
Have spoken to an IFA, who has said that I can release £20k as deposit for BTL in new location, without touching my savings etc.
Not sure if the burden of having 3 BTL PLUS our house from my work would be too much if all 3 are empty.
Best options?
Neither location will be our forever home.
Any thoughts? My minds just racing.
Thanks:p
Hope I'm putting this in the right place.
I have a big move coming up in the next few months and struggling to decide what to do.
Background
I'm 31, have a partner and 2yo dependant. Annual income £30k, no debts, great credit score, £10k savings plus £5,200 LISA. Very safe job, no risk of redundancy and no plan to leave before I'm 40 at least.
Partner will be unemployed when we move, but has a house he lets. This is mortgaged at £48k, rent in is £550 pcm, house value £120,000
I own house, mortgage £68,000, rent potential £650pcm, house value £125,000
We will be moving into a house 2 hours away from our current home with my work, costing around £280 including council tax but not bills.
Houses in the area can be pretty cheap and rent easily.
Have spoken to an IFA, who has said that I can release £20k as deposit for BTL in new location, without touching my savings etc.
Not sure if the burden of having 3 BTL PLUS our house from my work would be too much if all 3 are empty.
Best options?
- sell and get BTL in new location
- BTL current home
- BTL current home and BTL in new location
Neither location will be our forever home.
Any thoughts? My minds just racing.
Thanks:p
0
Comments
-
Hi,
I think your instinct that three properties is too much of a gamble is correct while it is only you working. What’s the rush? Why not wait until your partner has a job and you are confident you could easily manage with non paying tenants/ voids and major repairs.
Also why not pay down the mortgages on the properties you have so that more of the rent is income and less is lost to mortgage interest rather than buying more? Or at least save up for the next buy to let rather than borrow more against your properties.
With Brexit around the corner the equity in your properties could fall so by putting money into a property right now you could be just throwing some of your money away. What happens if you hate the new job? I’m sorry to say your IFA just wants the commission of the products you take - are they thinking of expanding their buy to let portfolio right now? I doubt it.
Tlc0
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