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£13,000 Fee!!!!
Wanttomove_2
Posts: 1 Newbie
Here is our story
My girlfirend is the sole owner of the mortgage at a vale of £214,000 the property is worth £320,000. I think she was lent about x7 her salary which was arrange through a mortgage advisor with First National.
The mortage is interest only and fixed for the next 2 years, he has told us that if we were to re-mortgage there is a fee of £13,000 while we are still locked in.
We asked if we could transfer the mortgage to a new property worth the same amount thus not having to change the mortgage and avoid the fee.
He told us that First National said this is not possible due to the special conditions centred around the mortage.
Now we have used this guy for many years and his a very nice chap, however at the back of my mind I know at the end of the day this guy is a salesman and earns commision from re-mortages. If we were to just transfer it it would mean nothing for him.
So my question is how can we avoid this £13,000 fee? We cant wait 2 years as living in London is too expensive and we wishy to move before her 10yo goes into high school.
My girlfirend is the sole owner of the mortgage at a vale of £214,000 the property is worth £320,000. I think she was lent about x7 her salary which was arrange through a mortgage advisor with First National.
The mortage is interest only and fixed for the next 2 years, he has told us that if we were to re-mortgage there is a fee of £13,000 while we are still locked in.
We asked if we could transfer the mortgage to a new property worth the same amount thus not having to change the mortgage and avoid the fee.
He told us that First National said this is not possible due to the special conditions centred around the mortage.
Now we have used this guy for many years and his a very nice chap, however at the back of my mind I know at the end of the day this guy is a salesman and earns commision from re-mortages. If we were to just transfer it it would mean nothing for him.
So my question is how can we avoid this £13,000 fee? We cant wait 2 years as living in London is too expensive and we wishy to move before her 10yo goes into high school.
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Comments
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Contact the mortgage lender direct and ask if the mortgage deal that she is currently tied to is portable and they will give you an answer.
If it is then transfer it to a new property.0 -
Is the mortgage advisor employed by First National (i.e its actually First National you have spoken to) or is he independant from the lender?0
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hmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmm0
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Now we have used this guy for many years and his a very nice chap, however at the back of my mind I know at the end of the day this guy is a salesman and earns commision from re-mortages. If we were to just transfer it it would mean nothing for him.
If he was caught doing that then it would be a blatent mis-sale and redress payable. If you do have doubts, then phone up the lender directly and ask them if it is portable.So my question is how can we avoid this £13,000 fee? We cant wait 2 years as living in London is too expensive and we wishy to move before her 10yo goes into high school.
If its not portable, you cannot avoid it unless you stay put.I am an Independent Financial Adviser (IFA). The comments I make are just my opinion and are for discussion purposes only. They are not financial advice and you should not treat them as such. If you feel an area discussed may be relevant to you, then please seek advice from an Independent Financial Adviser local to you.0 -
Could you rent your current property out and rent somewhere else yourselves?I'm a Forum Ambassador on the housing, mortgages & student money saving boards. I volunteer to help get your forum questions answered and keep the forum running smoothly. Forum Ambassadors are not moderators and don't read every post. If you spot an illegal or inappropriate post then please report it to forumteam@moneysavingexpert.com (it's not part of my role to deal with this). Any views are mine and not the official line of MoneySavingExpert.com.0
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Pmsl, Pmsl, Pmsl
:d0 -
First National products are not portable - this would have been detailed on both the Key Facts Illustration and the mortgage offer.
They would have been recommended because you wanted 7x income - no other reasonI am a Mortgage AdviserYou should note that this site doesn't check my status as a Mortgage Adviser, so you need to take my word for it.This signature is here as I follow MSE's Mortgage Adviser code of conduct. Any posts on here are for information and discussion purposes only and shouldn't be seen as financial advice.0
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