new mortgage or remortgage

chrisandy111

Hi,I have seen a cottage i want to buy in an auction in 2 weeks guide 130,000 to 160,000 our present 180,000 house is paid for and we have 30,000 savings it would be how should i finnance this ,nationwide offered me a 103,000 mortgage fixed 2 yrs 4.99 but cant pay this quicker if we sold our present house before we have no debts or other out goings should i get a tracker if i can not sure any ideas ???

getmore4less

If the plan is to try and buy then sell I would consider this as one of the options.

A portable offset for as much as you can get with low fees possible on the exisitng property.

1. this costs nothing in interest till you draw the money.
2. if the cottage goes over your max you do not draw the money so still cost nothing in interest and is in place till you find anothe place to buy.
3. you can try to port this to the new place once bought.
4. you offset as much as you can once you sell(may be less as prices fall)
5. you have a line of credit to do the same again if you want.

AIUI arranging a mortgage for an action place can have issues and costs.