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LTV on new mortgage

Hi,

I purchased a house last year at a significant discount to its sale price. My mortgage is up for renewal soon and I wondered whether the value it's worth now will give me a better LTV and therefore a better rate:

My mortgage is £230k
My house value is £285k

The product I'm on is a 2yr fixed at 5.94% (95% mortgage).

Will my lender take the current valuation in to account and offer me rates for 80% LTV?

Comments

  • herbiesjp
    herbiesjp Posts: 8,499 Forumite
    Assuming the current valuation of £285k is correct then yes.

    Was the discount from a homebulider? Is the property a newbuild?

    If so, you could find the value has actually gone down
    I am a Mortgage Adviser
    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.
  • It was a new build - but the development was very small and on a really good, sought after road. The same house type as mine sold for significantly more and current valuations (from 3 estate agents & the MSE recommended online valuation company) all come in at £299,950 - I thought I'd be a little conservative and go for the price it was originally marketed as.
  • herbiesjp
    herbiesjp Posts: 8,499 Forumite
    Well then you can take your pick of the 80% deals
    I am a Mortgage Adviser
    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.
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