Owning your own home

How much is the BTL flat worth?

Enough. But curiously about £70k less than the current lender thinks. I know this because I tried to sell it, and of the thirty people who went through the door, two of them offered about the same amount which is a lot less than everyone expected.

Would selling it off let you pay off your mortgage or pretty much? I think that's what I'd be aiming for.

It's what I was aiming for when I tried to shift it this summer. Whole load of factors - grumpy tenants (rightfully), naff estate agent, crap market - all scuppered that plan and has left me paying about £500 a month more on the BTL mortgage than I could be paying.

I agree that the flaw in your current plan is too much exposure against your own home. If you think this:

what will probably be the lumpiest ride this nation will experience in peace time

Why expose your own place so much?

I could re-mortgage the BTL flat with another BTL mortage. It will cost me about £1500 in fees and then for a five year fixed I'd pay 1% more over those five years. It looks expensive. I'd then piss the lender off when I transfer 50% of it to Mrs Howard. I'd then pay ERCs when I sell it. Yes I could get a two year fixed or a three year but ideally I want a six month fixed and nobody will sell me that :)

So that's the why. Cost. What's the downside? We are effectively resetting our residential mortgage back to where it was when we started here eight years ago. Technically we have enough cash and liquidish stuff that was could pay the monthly payments for three years even if neither of us worked.

So I don't see it being that risky. What am I missing?