Please can I get some advice, I will be contacting a professional on Monday but just need to ask some outside advice whilst waiting.
when I was in my 20’s my parents had a rental that they wanted to sell they sold it to me for tax related reasons. I didn’t ask for it but being a naive 22 year old I didn’t think. I then got married and myself and husband couldn’t get a first time buyers mortgage due to me having a property already so already this decision affected me.
now fast forward to my 40’s the rental property has about £35k mortgage still left to pay but it’s okay as the rent covers it (I don’t see a profit ever it goes directly to mortgage). I’m in a bit of a tight spot and need about £15k to clear my debts and another £15k to last me till I find a job. Plus things are broken in my home which need fixing, Also our car is at breaking point right now. There’s no benefits as husband works and I do work but part time and not paid well but I have qualifications that will get me a good job but right now I can’t due to childcare.
my mum suggested I take a re-mortgage out in the rental property so if I take 80k I will give £35 to clear the mortgage and leave me with £45k which will be used to clear my debts, help with other things etc. she made it sound good till I worked out I’ll be giving back over my lifetime near £180k. The mortgage will be now slightly higher but the rent is increasing so it will cover the new mortgage payment.
I don’t know what to do and cannot discuss with DH as he will go crazy and I don’t really trust my mums business sense.
what should I do? I could find out the figure for £60k which will leave me with £25k