13:55 PM, 29th November 2013, About 10 years ago 7
Hi would be interested in any thoughts on the following.
I split with my partner 2 years ago and the situation at present is as follows …
She lives in our house (joint interest only £250K mortgage), current value estimated to be £700K to £750K.
I live 1 mile away in a 2 bed flat (joint interest only £100K mortgage with my business partner), current value estimated to be £175K.
I’m spending the next 4 months or so resolving issues on the house with the intention of selling up in spring next year. Its an old house and there are problems with the roof etc which I want to rectify as its important I get top price for the house (naturally), and I don’t want to be knocked down £20K on the roof at sale time which would only need £5K of work etc etc.
Once sold I plan to split the cash from the house sale so that my ex partner can be self sufficient, currently our income and costs are still shared. This would mean me providing her with a larger slice of the equity. Based on her earnings and house prices in our area (a town just outside Brighton), I’m envisaging she will need around £275k. This would leave me with anything between £150K and £200K.
Unlike my ex partner who is ‘house proud’, I’m quite happy to live in my flat and use the cash for property investment.
The rental market I believe is pretty good in the towns and villages around here as there are good rail links to London and Brighton. In fact my flat is amongst 11 others in the same building and they are all rented out, I’m the only flat owner.
So I guess I’m looking for peoples thoughts…my concerns/questions are…
I’ve never been a landlord before so I have some reservations i.e should I use an agent, legal aspects etc etc (I’m still familiarising myself with all the acronyms etc on this forum for example).
Having lived in my flat for a couple of years would it make sense if I invested in other flats to move into one of them? (I understand there is some relief on capital gains tax if you have lived there for a period of time?)
I’m not looking for an investment that brings me a monthly return as such, although I do have some concerns regarding my income source long term so that could change.
Any ideas/thoughts would be appreciated.
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