To Pay Off Buy To Let Mortgage or not?

Lorraine99

Hello

Please can you advise on the following any advise would be much appreciated

I currently own 2 buy to let properties each has about 55k balance remaining to pay... but if i let the payments run their full term its 80k each.

My situation is that I need to move out of my main residential house.
Both of the BTL mortages have now come to an end of their fixed rate terms which has been a couple of years now...which i didn't fix as I was uncertain if i wanted to sell them at a later date or not.

Is it better if I remortgage 1 of the properties to clear the 55k balance on the property I want to move in?

I have 2 children and I want to reduce my financial outgoings?
Will this option have any tax implications as it will be a second home but no mortgage

thanks

Lorraine99

the property I want to be mortgage free has been empty not rented out etc whilst the other 1 had family living in their

Typhoon2000

What are you intending to do with the house you live in now?

Lorraine99

my mum will be living in there and paying the mortgage

Typhoon2000

Do hear in mind the term of your mortgage may not allow your family or to occupy a BTL mortgaged property and your residential mortgage may not allow your mum to live there without you doing so as well.

Lorraine99

yes thats right the BTL mortgaged property does not allow owner or family to live in them...but if i remortgage 1 property to clear the balance on the other how would that fair out?

I look after my mum so I'm kind of there but I need my own space hence this property that I want to be mortgage free is just opposite where my mum lives .

sorry if that makes sense....

getmore4less

looks like current property status is

1. main residential you live in with mum who will remain.
2. BTL 1 you have empty(close by to 1) and plan to move into
3. BTL 2 occupied by family still? you say had


Need more details as all three are mortgaged start with for each one,

Value, rent, amount owing, interest rates(fixed and followon, terms(fixed and full term), payment.

income to assess affordability also useful

dimbo61

Again this is too complex to sort out on this forum.
You need the advice of a mortgage broker who deals in BTL and the advice of an accountant.
They will look into every part of your life and income, age, savings, tax situation.
Equity in each property and maybe find you a suitable lender for your needs.
Fees for the advice and mortgage fees are tax deductible.