Advice please negative equity deed of postponement

caroline34

Hi Arkie

We havent heard from First Plus as we do not have the new deal yet as we are waiting for the mortgage man to get back to us about the fees. Anyone.... what is the likely hood of the a DOP being accepted with First plus ??? on the information given any one on here that has worked for First PLus or worked at a financial institution that has seen circumstances like ours?
Please help !!!
With regards to your message ... happy with what???

arkie

Sometimes Abbey will not allow a deed of postponement on the lines of affordability and equity within the property

caroline34

Havent heard anything yet could Abbey stop the DOP how does this work then? sorry am a bit of a novice and starting to panic with it all now

arkie

your new lender ( Abbey) works to an affordability calculation to determinw how much you can borrow. When you leave the any loans outstanding the monthly amounts are multiplied by 12 then taken off your salary. If your secured loan is left outstanding do the Abbey know and have they taken this into account when using the affordability calculation.

jill2002

Hi,

When Abbey do a full risk assessment, the secured loan is likely to have been taken into account on affordability it is automatically taken into account when doing the risk assessment - so there should be no problems there.

With regard to the valuation, please read again my earlier post. Getting valuations from estate agents is NOT the way to do it - they will NOT be accepted by Abbey. You need to go onto www.nethouseprices.com and collect information from there for prices of houses that have SOLD in your area, or as stated earlier, pay for another valuation to be done from one of Abbey's panel surveyors - there is a strict procedure in place for you to challenge the valuation.

doogle34

Hi Caroline34

I am no financial expert, all i can do is share with you the experience we have just been through on getting that DOP.:mad:

How this works and correct me if i am wrong,because you have a secured loan with firstplus and at the moment you want to re-mortgage taking off northern rock and replacing this with a new mortgage company,DOP allows that new mortgage company to take first charge because all mortgages take first charge, so when northern rock is removed first plus automatically take 1st charge so this is where the DOP comes in, its so your new mortgage company can take first charge again and firstplus automatically take 2nd charge again. This is how EPF explained it to us.
This is how the secured loan companys have so much power because its only them that can give you that DOP to re-mortgage with someone else,unless you are able to re-mortgage with additional borrowing so you can pay off the secured loan with firstplus and that way you won't even have to worry about that DOP if there is a mortage company out there with a higher LTV another option.
In my opinion its best to give firstplus a ring & ask to speak to the DOP dept and find out from them (straight from the horses mouth so to speak) what they will & won't allow for you you to re-mortage, what their max LTV is for def,so just in case after all valuations have been done & it still comes in under the £185 fiqure also whats firstplus min valuation fiqure have to be to allow you to re-mortgage, how much their DOP is because you do have to pay for this (rip off i know) ours with EPF was £60.Our first mortgage adviser like us didn't even know anything on how this DOP worked so its nice to be armed with the ammunition, so you know where you stand.
Perhaps it might be worth instead of sticking with abbey go to a mortgage broker like we did,because they can look at the whole market,know where you stand with firstplus so your not disapointed when your conveyance team come back weeks down the line and say the deal is off because they cannot get that DOP from firstplus. after all,all they want to know is worse case scenerio if the house is repossesed would the property be worth the money if property is taken ,would they get their full share once mortgage company have taken their portion of the houses market value this is what it boils down to.

I'm afraid the market at the moment is very difficult with this current credit crunch.

For us we are feeling very dis-heartned at the mo, we have since found out our previous mortage provider Gmac have ceased trading, EPF our secured loan company have ceased trading and we have only just re-mortgaged with our current mortgage provider Halifax -Tmb and we have just had a letter come through to say they too, have also ceased trading as from this month and they have been doing business for years & years they have told us our mortage is now been taken over by B&M it won't effect us,but still is worrying all these people unemployed & this is just the tip of the iceburg i expect.......This country really is in a mess.

GOOD LUCK CAROLINE AND REALLY TRY NOT TO WORRY I NO ITS EASIER SAID THEN DONE BUT TRY NOT TO, ALL THE BEST !