Planning next move... Pay off current mortgage and use house as collateral?

dimbo61

Sometimes you can juggle too many plates at once.
You are already running one company and now you want the headaches of running a BTL business.
If you sold your home and put down a huge deposit on your next Forever family home might you sleep better at night.
5% return before costs is poor.
Would you buy a rival firm if it was making a loss ?
Maybe an offset mortgage where you can keep a large Emergency fund which I am sure thousands of people would love to have now !
When the time is right and the right property comes up you could then buy the perfect BTL property

ThePants999

All the hassle of being a landlord for a 4-5% gross return? Yuuuuuuuuck.

Getting better than 1.7% on your money doesn't require any investment of time. There are companies out there who will handle straightforward investments for you for tiny fees. E.g. I use Moneyfarm, where the total fees are well below 1% (https://www.moneyfarm.com/uk/pricing/), and before COVID-19, I'd been seeing about 8.5% annual return net of those fees over the preceding ~4 years. Naturally, with investments comes the risk of loss, and the coronavirus has cost me all my returns and then some but if you're happy to go into the property rental business then you're obviously comfortable with risk!