exiting buy to let

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    exiting buy to let

    after a nightmare tenant who will soon be evicted (i hope), i do not wish to proceed with buy to let. unfortunately i have 22 months left on a fixed mortgage deal and would have to pay 4% to exit ( 3-4k).
    i myself have been living with family but coming close to 40 i need to prioritise getting myself a property to live in.
    i thought about moving into the buy to let but im not that drawn by living there and i think it would be contravening the mortgage terms (?) however the mortgage would still be paid and who would know ? if i did this until 2024 id save paying the redemption fee.
    therefore do i sell the flat and take the hit with the fee, then either rent or buy somewhere for myself to live?

    You need to speak with a financial accountant, as you could live there and register yourself as living there, and therefore you may be entitled to getting relief when selling the property as your main residence for the duration you lived there.

    But you need to work out the sums in the cost and the selling price and any gains you made, also if this was brought through a Ltd co or not. Speak to agents to see what the property is worth in it's current state vs doing it up and how much it would cost to do it up (if damaged by T).

    Or it may be better to just sell it and get any residual profit out as possible. If you do intend on living there then you would need to inform your mortgage provider and they may switch you to a lower interest rate residential mortgage as long as you pass the mortgage criteria as well as your insurance co. You should inform your insurance co if it is empty so that your policy isn't void and your paying for no insurance. Also you would be liable to council tax and utilities now, some water co. offer landlord exempt fees while empty.


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