Advice Please

stuck_in_a_hole

Right here we go

I like a lot of people are sitting with a property within negative equity, my 2 year fixed deal ends in september and then it jumps from 5.4% (best i could get in 07) to over 8% meaning a serious increase in monthly repayments. As my situation is currently fluctuating i could be struggling to meet current requirements let alone future ones

i have the ability to make lump payments with my current RBS deal, and so may have to seek employment in another area or even abroad.

I know i won't regain the full amount but if i were to sell my current property and take on somewhere smaller so i could be employed and use what is left to pay of my loans and a lump of my mortgage would this reduce my repayments?

is this something that is possible or is bankrupcy my best bet

dimbo61

Why does it go to 8% ?
Are you reading the paperwork from 2 years ago ?
What does you mortgage revert to after the fix ends SVR/ TRACKER ?
Contact your lender and ask !

payless

absolutely , doubt it will be anywhere near that if a RBS deal- ask , also enquire about poss new deals from them

stuck_in_a_hole

I'm going off my KFI

my concern is actually affording the repayments if you see what i'm saying

dimbo61

The KFI will tell you what the SVR was at RBS in 2007 when you took out the 2 year fixed rate deal !
I think its now 4/4.5% so your mortgage would actually go DOWN.
For piece of mind the best thing to do is contact your lender and ask what your mortgage would revert to at the end of the deal and how much it would cost each month. At least then you will know where you stand. Check what other deals are available and, if you are worried about long term mortgage rates, go for a five/ten year fixed rate deal to give yourself security.