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Evening Standard
Evening Standard
Business
Charlotte Duck

Mortgage clinic: ‘At what interest rate would I no longer be able to pay the mortgage on my rental property?’

Decision time: Anabela Pereira Santos Yourell hasn’t increased the rent on her London property for five years

(Picture: ES)

Anabela Pereira Santos Yourell, the owner of a gym and HR consultancy, rents out her three-bedroom semi-detached house in Colindale. Her tenants, a family, pay £1,750 a month and, in the five years they’ve lived there, she hasn’t put up the rent. Yourell moved to the Midlands in 2017 and took the equity out of her London property, now estimated to be worth £750,000, to use as a deposit for her family home there.

Her low, fixed-rate mortgage is set to expire in December 2023 and has a high early repayment charge if she switches before then. “An increase of six per cent would work out at £1,700 a month so I wouldn’t be making money and I wouldn’t have anything to cover the insurance and the tax.”

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