Second house, mortgage, buy to let, halpppppppp

[lukefreeman]

Before I get the replies stating “Ask Sarnie” (Which will happen in due time, don’t worry!), I want to see if anyone else has done something similar before:


We live in house 1, Value £115k, 25% in it, 8 months away from the end of our fixed term deal. £650 a month for the remaining term 13 years, 8 months.

Believe we could rent this for £450-500 PCM.

Seen house 2, value £180k, could put down 15% from our available savings. Move into this house.

The question is, can we get a mortgage on the second house? Can afford topping up the 1st house payments until November, then do I re-mortgage as a buy to let, increasing the term to 25 years, so that the repayments are less than the rent income? Or do I remortgage now? (Can I remortgage house 1 now, as I’m in middle of fixed term?)


P.S. I don't see house 1 as an income stream........more a savings pot. (Idea would be to get 80% value in it, then remortgage and stick 40% into another etc.

[lukefreeman]

Sarnie said:

Am I allowed to post a response?

You was gonna get a seperate email/private message (Cause I'm kind like that :-)) Just wanted to here if people have done this kinda stuff before!

Please don't take my post as offence or anything.

Cheers

[lukefreeman]

cailean said:

Port your current home mortgage to new house (if allowed) and get let-to-buy interest free mortgage on existing house - will all depend on income levels/affordability etc. 15% down seems low though.

If I ported mortgage to new, there'd be a defecit on £70k, so I'd have to take a mortgage out for that?

I could put down current savings on our old house (£30k on a £115k) which gives around 25%

If I sold a car I could raise more cash too........FML.

[lukefreeman]

Sarnie, emailed you, think we've seen the next house....