Hi,
I am in a complex situation:
- currently coming to the end of my fixed deal with Nationwide, my house is on the market (for £215K) as I want to move in with my girlfriend
- she has no equity in her house which is also on the market (for £250K)
Her house is both more suitable and in a better location for us both and our kids (she has 2 and I have 2 that stay regularly with me).
If I move in with her, her husband wants rent from me for around £750 per month as he covers the mortgage which is in joint names with my girlfriend. This is not unreasonable, butI am trying to work out if it is viable for me to do the following:
- rent my house out for a year (I can expect around £750 per month before letting agent fees of 1.2%)
- remortgage on to a new deal either with my current or a new lender. In remortgaging I would extract some of the equity from my house and jointly buy my girlfriends house with her.
I have a good salary (basic £65k with benefits on top and commission can take me to £90k), she earns a lot less - a little over £10k.
I have an ISA I recently took out with Sterling that I am paying £250 per month into.
Being practical I cant afford anything other than interest only mortgages in this scenario right now until my house sells - but I'd welcome some sound, home-truth advice here... and would I even find a lender who would talk to me?
Thanks