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Advice please on Remortgaging

doomwad
doomwad Posts: 4 Newbie
in Mortgages & endowments
Hi,
I'm after some advice on a remortgage, being an absolute novice in this area.

I'm looking to re-mortgage to free up £25k to pay for an extension. I have a house valued at around £190k and a current mortgage of £109k. My current mortage ends in September and my current lender will lend the money but as a seperate mortgage on a 2 yr fixed.

My question is this, if I go with this deal will I have difficulty remortgaging the £109k with another lender in September given that there will be a seperate loan secured on the house.

Many thanks,
Simon

Comments

  • herbiesjp
    herbiesjp Posts: 8,499 Forumite
    If you take the second deal on a rate that ties you in, then yes you will have problems. In so far as you would have to then pay a penalty to get out of the second mortgage - on £25k it may not be that large, but it might be easier to take a deal with no tie ins, as this will leave you with greater flexibility
    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.
  • doomwad
    doomwad Posts: 4 Newbie
    Thanks for the advice herbiesjp. Isn't it funny that the Mortgage Advisor at the bank didn't mention that fact even though he talked about the other loan finishing later this year!!
  • herbiesjp
    herbiesjp Posts: 8,499 Forumite
    No commet lol :rolleyes:
    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.
  • Robert_Sterling_3
    Robert_Sterling_3 Posts: 7,112 Forumite
    doomwad wrote: »
    Thanks for the advice herbiesjp.

    herbiesjp does not give advice! :eek:
    ...............................I have put my clock back....... Kcolc ym
  • Robert_Sterling_3
    Robert_Sterling_3 Posts: 7,112 Forumite
    herbiesjp wrote: »
    No commet lol :rolleyes:

    Should you have pointed out to the OP when he thanked you for your advice that you did not give advice?
    ...............................I have put my clock back....... Kcolc ym
  • herbiesjp
    herbiesjp Posts: 8,499 Forumite
    I don't think so.

    It is in the signature :beer:
    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.
  • getmore4less
    getmore4less Posts: 46,882 Forumite
    Part of the Furniture 10,000 Posts Name Dropper I've helped Parliament
    Robert_Sterling wrote: »
    Should you have pointed out to the OP when he thanked you for your advice that you did not give advice?

    I didn't see any advice just some facts.
This discussion has been closed.
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