Would appreciate your opinions just to get some different viewpoints.
I have a small (£60k) BTL mortgage coming up for renewal. I can refinance and increase this mortgage to £110k to help me purchase another BTL. The figures below are for repayment and not interest only.
- If i refinance the the existing amount of £60k, I will be paying around £350.
- If i refinance to £110k, I will be paying around £550 plus a similar amount on the the proposed new BTL.
- Refinance and use some of our savings to buy slightly more expensive property but this will mean a bigger BTL mortgage.
Just to give a bit of background - We do own another BTL and also our own home mortgage free. I would say we have reasonable to comfortable monthly income and outgoings. We are a family with young kids.
The plan is to hold onto these existing BTL and at some stage gift these to the kids. We will do the same if we were to buy another. I am aware of the existing and incoming legislation and the general state attitude towards landlords.