Your browser isn't supported
It looks like you're using an old web browser. To get the most out of the site and to ensure guides display correctly, we suggest upgrading your browser now. Download the latest:

Welcome to the MSE Forums

We're home to a fantastic community of MoneySavers but anyone can post. Please exercise caution & report spam, illegal, offensive or libellous posts/messages: click "report" or email forumteam@.

Search
  • FIRST POST
    • Ross95
    • By Ross95 7th Sep 17, 11:55 AM
    • 7Posts
    • 0Thanks
    Ross95
    Mortgage term reduction
    • #1
    • 7th Sep 17, 11:55 AM
    Mortgage term reduction 7th Sep 17 at 11:55 AM
    Hi


    My current fixed deal is coming to an end and I will be able to sort out a new rate.
    Currently the mortgage is in my name and only I pay the mortgage.
    However on the new deal my other half will be going on to the deeds and paying half the new mortgage.


    I will have £72000 left to pay, property worth £150000 and the current term is 20yrs.
    What are the chances of cutting the term in half to 10 yrs now my partner will be contributing more on top of what I was paying?
    What do lenders look at when asked about term reductions?
Page 1
    • kingstreet
    • By kingstreet 7th Sep 17, 12:05 PM
    • 32,283 Posts
    • 17,318 Thanks
    kingstreet
    • #2
    • 7th Sep 17, 12:05 PM
    • #2
    • 7th Sep 17, 12:05 PM
    Effectively, a transfer of equity is going to involve pretty much a new mortgage application with affordability and status checks on the person joining the mortgage and ownership.

    Affordability will determine the term options. Use the lender's online affordability calculator to establish your options.
    I am a mortgage broker. You 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. Please do not send PMs asking for one-to-one-advice, or representation.
    • AnotherJoe
    • By AnotherJoe 7th Sep 17, 3:33 PM
    • 7,602 Posts
    • 8,204 Thanks
    AnotherJoe
    • #3
    • 7th Sep 17, 3:33 PM
    • #3
    • 7th Sep 17, 3:33 PM
    If the deal allows overpayments thats a more flexible way of getting a term reduction without being committed.
Welcome to our new Forum!

Our aim is to save you money quickly and easily. We hope you like it!

Forum Team Contact us

Live Stats

708Posts Today

6,183Users online

Martin's Twitter
  • RT @TfLTravelAlerts: Oxford Circus and Bond Street stations now both reopened and all trains are stopping normally.

  • RT @metpoliceuk: We have not located any trace of suspects, evidence of shots fired or casualties. Officers still on scene. If you are in a?

  • My hopes and prayers are that this turns out to be nothing. Stay safe.

  • Follow Martin