Keeping Property V Mortgage free living?

[footsteps]

WE have a property that we are thinking about selling, have had it valued at é200.000 ( which is more than we thought it would be worth). It is an old house and in good enough shape and in the country.
we are building a new house and if we sell this house we possible could have mortgage free living or else a very small mortgage.

Otherwise we would be fine on repaying both mortgages but if we failed to get tenant to rent other house we could run in to difficulties.

I am of the opinion that we will not get that much for the house again if we don''t sell now and personally not that interested in going down the renting route but if it were to make financial sense to hold on to house I probably would.

Any one know which way the property market is going to go??!!

 

[amgd28]

If you don't fancy the whole landlord thing, then I think you have just answered your own question. Why have an asset earning you nothing when it could be saving you lots of money on reduced or eliminated mortgage repayments. With interest rates getting higher than we have all been used to recently, I think selling is the best option for you.
Incidentally, you mentioned that the house is in the country - did your agent say how quickly they expected the property to move? Just bear in mind, that it could take a few months to shift it (then again, could sell immediately). Check out if there were any properties for sale in the area in the last few months, and you should be able to gauge how quickly their shifting

Best of luck - yours is a nice position to be in!

 

[ClubMan]

Any one know which way the property market is going to go??!!

No.

If you are considering keeping the existing property as an investment/rental property then you really need to clarify the tax, investment and other (e.g. being a landlord) issues and carefully crunch the numbers to assess whether or not the whole venture is viable, profitable and/or the most suitable investment for your particular circumstances compared to other options out there. Remember that concentrating most or all of your means into a single asset class, risk/reward profile and geographic region (e.g. Irish residential property) involves risks that may not be associated with a more diversified/balanced investment portfolio. If in doubt get independent, professional advice.