Buy to Rent Property

[2old4this]

I thinking of taking mortgage of £90,000 out on house and renting it out and put that money towards the new house that will also be mortgaged
What want to know and been told by the mortgage broker and few others who rent house out. as i taking mortgage on my first house and renting it out for around £600 amonth and not making any profit and just covering the mortgage That i am still eligible for the Working Tax Credit (Family Tax Credit) anyone have any info on this?
If i lose the Benefits all i have to do is but rent up

[jayc]

Just recently the sale of our house fell through and the only way we could by our new house in time was to get a new buy to let mortgage for our old house.
We currently rent it out for the same price as the mortgage and it has not affected our tax credits.

We got the new house all ok but i'd rather not have the whole 2 mortgages round my neck thing. I think as soon as we are out the redemption fee period I'll flog the old house. We have an interest only mortgage and as such i don't think its worth 25 yrs of hassle when I'll still have to pay 150k back at the end of them term.