sell up and just rent?

[ilovemarkb]

Is this a bad idea?only got 10 years left to go on our 25yr mortgage! but just live in old terraced house. Theres no way we can get a mortgage for a nicer house, the only option we see is to sell up and pay our credit cards off (£4800). then rent a gorgeous house. We have 3 kids and things are a bit crammed now that the boys are older! Do you abbers think we,d be crazy to sell up and rent!!! interested in opinions! julie

[BRIGHT SPARK]

It depends how much equity you have in your present property.It may be better in the long term to rent out your present property and use the income plus a bit more to rent a slightly bigger one.This way you still remain on the property ladder.However if you need to sell to finance other debts and have no way to increase your income you could look at a possible re mortgage.This way the interest rate will be a lot lower than the credit card company.It can be tempting to take out the equity and go spending but it wont last long and its taken you 15 years to earn it! Hope this helps... Regards Ron

[ilovemarkb]

thanks ron thats very helpful

[The Builder]

Don't do it ..................... for all your sakes.
With shorthold tenancies, you could be moving every six months............... not likely I know......... but it's always hanging over you. Concentrate on clearing the card debt first whatever it takes......... even by extending your mortgage. It'll be way cheaper as Brighty says, than paying the card companies.
Keep your house and look hard at ways of freeing up some space....... there's always something that can be done ................ good luck

[ilovemarkb]

thanks for advice! definatley not moving!!! we.ll just battle our way through
julie x