Hi - first time poster here, looking for advice already!
I own a 2 bed apartment with my ex-girlfriend.
We split up amicably a year ago. I've been living in it for the past year paying the full mortgage (I rent out a room to a friend for 400 per month). We decided this was the fairest thing to do as she moved out and had to pay rent elsewhere. We decided to bury our head in the sand as far as the apartment was concerned.
Not any more, she's looking to get the apartment valued on saturday with a view to either selling up or wanting to buy me out.
We bought the place 3 years ago for 241,200 there is 205,000 and 27 years left on the mortgage. I reckon the place is now worth 350,000 - 370,000. The mortgage is fixed for the next 10 months (3.94% costing 912 per month).
What would you do in my situation, sell up or try and buy her out? I've worked out a few pros and cons but I'd greatly appreciate any input on these as I may be way off!
Pros of selling my share:
-----------------------
I'll get round 70K+ that I could invest in something other than property. That plus my SSIA would be a nice lump to invest. Anyone know the average returns of the stock market versus the property market?
If I buy her out, with increasing interest rates I reckon my new mortgage would jump to something like 1,500 per month which I can just about afford but will mean I'm putting all my money and faith into the property market.
I'd no longer have to pay a 1,300 pa service charge for apartment.
I think there's a problem with damp in the bedroom coming in the next couple of years...
Cons
-----------------------
FTB gone, will have to pay stamp duty if I ever buy again. Should I be looking for compensation for that on top of the money for the apartment?
If the house market continues to rise by about 5%+ per year I think I'll be losing out.
Upheaval of moving.
Any advice would be greatly appreciated.
Agwa
I own a 2 bed apartment with my ex-girlfriend.
We split up amicably a year ago. I've been living in it for the past year paying the full mortgage (I rent out a room to a friend for 400 per month). We decided this was the fairest thing to do as she moved out and had to pay rent elsewhere. We decided to bury our head in the sand as far as the apartment was concerned.
Not any more, she's looking to get the apartment valued on saturday with a view to either selling up or wanting to buy me out.
We bought the place 3 years ago for 241,200 there is 205,000 and 27 years left on the mortgage. I reckon the place is now worth 350,000 - 370,000. The mortgage is fixed for the next 10 months (3.94% costing 912 per month).
What would you do in my situation, sell up or try and buy her out? I've worked out a few pros and cons but I'd greatly appreciate any input on these as I may be way off!
Pros of selling my share:
-----------------------
I'll get round 70K+ that I could invest in something other than property. That plus my SSIA would be a nice lump to invest. Anyone know the average returns of the stock market versus the property market?
If I buy her out, with increasing interest rates I reckon my new mortgage would jump to something like 1,500 per month which I can just about afford but will mean I'm putting all my money and faith into the property market.
I'd no longer have to pay a 1,300 pa service charge for apartment.
I think there's a problem with damp in the bedroom coming in the next couple of years...
Cons
-----------------------
FTB gone, will have to pay stamp duty if I ever buy again. Should I be looking for compensation for that on top of the money for the apartment?
If the house market continues to rise by about 5%+ per year I think I'll be losing out.
Upheaval of moving.
Any advice would be greatly appreciated.
Agwa