LTV may not matter so much once house prices rise again

bstu123

Hi All,

I have just went on to Halifa SVR and I am saving approx £150 per month, I don't intend to come of SVR till the house prices start to rise again and they will, then my LTV will be healthier so I can look for a better deal.

Is this a smart idea?

would like to hear positives / negatives.

Regards,

Stuart.

phibo

can't offer a positive or negative advice, however that is pretty much the exact same thing I'll be doing come Jan, not through choice, but only real option being stuck on in the remaining year of a NR together mortgage

My advice would be if you can a keep paying the extra £150 per month as overpayments if your able to, it will only make your LTV better.

_Andy_

Seems a bit of a gamble - how much do you expect house prices to rise by and on what are you basing this assumption?

beecher

Big gamble - house prices may not recover to their 2007 level for another decade or so, who is to know? It all depends on your LTV really - if it is presently below 70% then what you're doing is probably sensible. If it is over 85% then it is a risk. I'd try to overpay as much as possible - keep up to date with available fixed rates and pay that amount into the mortgage.