Can I purchase a second mortgage and keep my current home as a rental

J

janeym

New Member
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1
Hi there,

So here is my situation;
I am a 48 year old single woman and I have an apartment worth 268,000
I have 140,000 left on my mortgage and its a 30 year mortgage which I
purchased 14 years ago.
I have been thinking of buying a second home and selling my current home
but it would seem like a better investment to rent it as I could get 1800 a month for it.
I earn 85000 a year and I have saved 50000.
I have no bad credit or loans.
I was hoping I could get a second home for about 450000
What are peoples thoughts?
Or should I just sell up and use my equity to secure the large mortgage?
 
To understand the general principles, read Sarenco's systematic Key Post on the topic.

Key Post - Keep Apartment as Rental or Sell?

Updated May 2020 The question regularly comes up on AAM whether somebody should keep an apartment that their family has outgrown as a rental or whether they should just sell up. Borrowers often run projections on the anticipated rental income from an apartment with a cheap tracker and conclude...
www.askaboutmoney.com


What interest rate are you paying on your mortgage?
Are you maxing your contribution to your pension fund?
How much did you pay for your apartment when you bought it?

Is your €450k proposed home, your forever home?

Brendan
 

"Oops! We ran into some problems.​


The requested thread could not be found."


The above displays when clicking on the key post link @Brendan
 
The proposed purchase would be way outside LTV limits if you keep your current apartment.

And you would also need to double your savings for the 20% deposit + stamp duty + legal fees.

It looks clear to me that you need to sell your apartment.
 
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