Buying abroard

Doobiedoobiedoo

I have almost finished paying my current mortgage, by making overpayments and wanted to borrow more money to buy a villa in florida.

I contacted my current lender (Egg) who have said they are not doing new or re-mortgages at the present time.

I have not intentions on moving from my current UK property in the foreseeable future and wanted to borrow more money to pay cash for a property in florida using my current house as a guarantee. I know the current housing market in the USA is a bit of a mess so if i can offer cash i will hopefully be able to get the property for much cheaper and wont have to get involved in the US mortgage market.

My house in current market conditions is worth about £160k and i will be looking to borrow about £80k (maybe a bit less). I only have about £7k left to pay on my current mortgage.

I believe Egg have left me in an akward position in that i will have to change lenders but will I have any costs in transfering the mortgage eg surveys fee's etc.. Will i need one of those house packs or is that for seller only.

I dont believe i will have any problems getting a new mortgage as the house valus far outweighs what i want to borrow.

Its typical when im financially sound, my mortgage lender isnt and it looks like im going to have to fork out because of it.

_Andy_

You don't 'have' to change lenders at all. Nothing to stop you staying on the SVR.

poppy10_2

_Andy_ wrote: »

You don't 'have' to change lenders at all. Nothing to stop you staying on the SVR.

She wants to borrow more money. Egg are not giving out any new money, either on new mortgages or remortgages. Therefore she needs to change lenders.

herbiesjp

Doobiedoobiedoo wrote: »

My house in current market conditions is worth about £160k and i will be looking to borrow about £80k (maybe a bit less). I only have about £7k left to pay on my current mortgage.

I believe Egg have left me in an akward position in that i will have to change lenders but will I have any costs in transfering the mortgage eg surveys fee's etc.. Will i need one of those house packs or is that for seller only.

What is your income?
Do you have anyother debts i.e. credit cards/loans etc?
I'm guessing you have a good credit history seeing as you are with Egg

If they definitely will not lend you any money, then there are plenty of lenders that will - at less than 55% LTV you will have the pick of the deals as well.

A lot of re-mortgage deal will include free legal fees and free valuation, so you will not have to pay for those. You will also not need to do a HIP, as you rightly say, those are needed when selling a property

Conrad

Watch the cost and availability of insurance in Florida as it can get tricky. You are no doubt aware some areas / developments have some pretty strict rental conditions.
Ive invested abroad a few times and have to say it's not easy to find investments that return above your financing, maintainance, insurance, FX transfers, rubbish collection, utilities, management fees and taxes.

Many use the term investment, when in fact over the life of the asset the returns can easily be negative, especially after factoring in purchase and subsequent selling costs.

Tons of yanks are buying in Meditereanean Morocco, just 3 hours flight from the UK where massive modern developments are going up. I dont get why they would want to fly all that distance