Best financial options to purchase a second house

[newinvest]

I'm looking to trade up to a new home, while keeping my existing house, and renting it. It's a detached 3 bed in Dublin in a great rental area.

My situation is:

Existing home - value €600K, mortage left €200K
New home - value €700K, morgage required - unsure?
Joint Salary - €250K
Savings - €160K
Other Debt: None

The new house has potential to rent an attached granny flat for €2K/month, and I plan to rent my existing house of €2K/month too, so total potential
rent of €4K/month.

What is the best way to finance this. I'm not sure if it's just a straight forward apply for a new mortage for the €700K or some sort of equity release on my existing home. Will the banks even look at me? I'm new to the second home idea so I'm not sure what the best approach is.

 

[DannyBoyD]

new to the second home idea...best approach

Read all the posts from owners who let out their properties first.

 

[cbyrne]

I wasn’t asking about letting, I was asking about how to approach getting a mortgage for the new home while keeping the first one. Apologies, I might have been confusing.