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Remortgage advice please!

Hi all,

I would really appreciate some advice with my remortgage. I finish my current deal on 30th September. I am currently paying 5.59%. I am only 2 years into a 30 year full repayment mortgage. I paid £20,000 deposit (house purchased for £150,000 – mortgage £130,000), and would dearly love to pull some of this back as I am getting married next year. My property has not dropped in value as I have made several improvements inside, but there has been no growth either. This has been verified by an estate agent.

My current providers (A&L) have offered me 2 years further fixed at 4.99%, but say I wont be able to get any on the £20k out at this stage.

Here is my conundrum…

If I move mortgage providers, I will have wasted 2 years paying interest off (I pretty much owe now what I did 2 years ago) and it will cost me a £295 cancellation charge. I may be able to get the cash out of the house though…

Help! What might you suggest? Should I take the 4.99% fixed? Find another way to get some money together for next years plans or look elsewhere?

Any thoughts you have would be taken very seriously and greatly appreciated.

Chaucer258

Comments

  • _Andy_
    _Andy_ Posts: 11,150 Forumite
    Unlikely to happen - you're wanting to borrow over 90% of what an estate agent says it is and you can guarantee a proper valuation will come in lower.
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