Loan to Value.

KE7285

Hey all,

Sorry if this has been posted elsewhere!

Im worried and confused.

We bought our first home in June 06 and our fixed rate of 5.89% with Northern Rock ends in June 09. We borrowed over 100% and i know that this doesnt stand us in good stead when it comes to re-mortgaging. We are trying to save so hard for some kind of deposit and wonder if anyone can tell me (roughly) what kind of loan to value mortgage companies are offering at the mo and what kind of deposit these would require.

I will do anything not to lose my house! x

_Andy_

Absolute maximum will be 95%.

manikm

RBS do a 95% still....at 7.09%

coincounter

And I think that this 95% is likely to be of a new valuation of the house at the time of remortgaging. So, if the house was £200k and you borrowed £210k (105%), the house may now only be valued at £180k so you would only be lent 95% of this (£171k). In order to get a decent new deal from somewhere else you would need to find money to cover the fees and the difference (fee eg £500 + difference £39,000 = 39,500) minus the interest and capital you have paid off so far (probably not that much if it was a 25yr repayment). Otherwise, I may be wrong but I think the only option is you will have to endure the banks SVR, and even then they might want to talk to you about paying off the loan.