Would You Pay off Your Mortgage or Buy a Second House?
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If given enough money, would you pay off your mortgage or buy a second home to rent out?
I would pay off the mortgage. I have no desire to own a second home, I wouldn't want to be a landlord. I would rather have the mortgage cleared and have that extra money each month.
I would pay off the mortgage for the first house first before buying a second home.
I think I have about £35k left on my mortgage to pay but a second home would be many times that unless I guess if it was somewhere like Bulgaria where houses are still relatively cheap.
I’ve never wanted to own more than one home not even a holiday home. Being responsible for one house is enough for me. Pay off the mortgage would be my choice.
I always wanted to pay off my mortgage early so worked hard and lots of overtime, managed to pay it off 6 years early. Wouldn't buy a second home.
I'd get a mortgage and pay it off if I could. I can't afford the deposit for a property where I am and wouldn't be given a mortgage at the moment cos ohs contract at work is classed as zero hour despite the fact he he works full time
Jerseydrew It's definitely getting harder to get a mortgage. There are approaching 3 million private landlords in the UK and then you have housing associations and property owned by larger companies that rent. It would be good if being a private landlord was made a little more difficult to help drive down property prices. I.e. a little more tax on the rent they collect but also a cap on rental prices for many areas. This would motivate more of them to sell property which would help lower house prices.
I still think rates was the best way of collecting local tax. The tax is on the property itself so easy to collect and it motivates people to live in smaller properties and have more people in those properties but puts a much greater burden of tax on the rich who like large houses and multiple homes but they can always avoid that tax by living in smaller homes. Anyway house prices were much more reasonable under the rates system as it was much more expensive to have second homes and larger homes. Large country homes in the countryside do cost more in so many ways, connecting to gas, electricity and services, building roads, collecting rubbish etc. There should be a large price premium on local taxation for such houses and not end up being subsidised by smaller urban homes like the current system.
great to get everyone's opinion on this. its something i have always pondered in my head on what would be best to do.
Pay it off I think and then put what you would pay for your mortgage to one side and reinvest it possibly for another property
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