David Silva
Registered User
- Messages
- 12
Age:
36
Spouse age:
36
Annual gross income from employment or profession:
E75300
Annual gross income spouse:
E55,000
Type of employment:
Public semi state
Civil servant (Spouse)
Expenditure pattern:
Generally we spend less than we earn.
Rough estimate of value of home:
225,000
Mortgage details:
170,000 outstanding 24 years left of 35 year mortgage INBS/IBRC now Mars Capital
Monthly payments 750 a month with TRS
Other borrowings – car loans/personal loans etc
None
Do you pay off your full credit card balance each month?
Yes
Savings and investments:
E111,000 savings
Do you have a pension scheme?
Yes defined benefit pay 4872 per anum
Spouse: Yes civil servant
Do you own any investment or other property?
Yes, 2 Bed Ground floor apartment 27 years left of 35 year mortgage.
Rental income: 8400
Mortgage payments: 1100
Property value: 125,000
Loan balance: 220,000
Equity: - 95,000
Ages of children:
2 & 3.5
Childcare Granny
Life insurance:
Yes.
What specific question do you have or what issues are of concern to you?
1. House purchase
Looking at buying a house to live in estimated value approx. 400k borrowing 320K or less. We've have been given a couple of options by a bank.
Option A. Sell our current ppr and buy the new property
Option B. Keep current ppr and buy 3rd property borrowing approx 320K. This is over 33 years and fixed for 7 years at 3.6%. The rental income from current ppr would be approx 1100 conservatively.
There doesn't appear to be a huge difference monthly outgoings between the two options obviously we'd have a lot more savings though.
Option B would allow us to hold on to a potentially improving asset with a good rental income and if its not working out then we could always dispose of of our current PPR.
I find it hard to believe the bank is offering option B. Does anyone have any experience of this? Would it be a terrible idea or leave us overly exposed to property. I am confident about the rental market in both areas as there is very strong demand for rental properties.
36
Spouse age:
36
Annual gross income from employment or profession:
E75300
Annual gross income spouse:
E55,000
Type of employment:
Public semi state
Civil servant (Spouse)
Expenditure pattern:
Generally we spend less than we earn.
Rough estimate of value of home:
225,000
Mortgage details:
170,000 outstanding 24 years left of 35 year mortgage INBS/IBRC now Mars Capital
Monthly payments 750 a month with TRS
Other borrowings – car loans/personal loans etc
None
Do you pay off your full credit card balance each month?
Yes
Savings and investments:
E111,000 savings
Do you have a pension scheme?
Yes defined benefit pay 4872 per anum
Spouse: Yes civil servant
Do you own any investment or other property?
Yes, 2 Bed Ground floor apartment 27 years left of 35 year mortgage.
Rental income: 8400
Mortgage payments: 1100
Property value: 125,000
Loan balance: 220,000
Equity: - 95,000
Ages of children:
2 & 3.5
Childcare Granny
Life insurance:
Yes.
What specific question do you have or what issues are of concern to you?
1. House purchase
Looking at buying a house to live in estimated value approx. 400k borrowing 320K or less. We've have been given a couple of options by a bank.
Option A. Sell our current ppr and buy the new property
Option B. Keep current ppr and buy 3rd property borrowing approx 320K. This is over 33 years and fixed for 7 years at 3.6%. The rental income from current ppr would be approx 1100 conservatively.
There doesn't appear to be a huge difference monthly outgoings between the two options obviously we'd have a lot more savings though.
Option B would allow us to hold on to a potentially improving asset with a good rental income and if its not working out then we could always dispose of of our current PPR.
I find it hard to believe the bank is offering option B. Does anyone have any experience of this? Would it be a terrible idea or leave us overly exposed to property. I am confident about the rental market in both areas as there is very strong demand for rental properties.