85% LTV mortgage deals??

michmush77

Hi, i am currently remortgaging from abbey and am looking for a good deal, has anyone come accross one, i have been searching the internet and have spoken to 3 brokers, but they are all rubbish

My property value is 175,000
My mortgage is 147,000
25 years to go!

This is 85% LTV

I could possibly reduce my LTV to 80% but i would rather not use our savings, but if it makes a big difference we would be willing.

Please help i feel we are getting ripped off!!

Thanks
x

beecher

What has Abbey offered you? What deal would you go onto if you did nothing - the SVR? Your LTV is relatively high so the risk is higher, therefore you're not going to get the deals which people with lower LTVs will be offered so you may indeed think anything you're offered is 'rubbish'.

vicshippers

It might be worthwhile using some of your savings to lower the LTV to help you reach the better rates - as Beecher said, these are saved for the very low risk customers.

Depends on your savings amount and interest rate (and if you may need to use them in the short term of course).

michmush77

The estate agents valued it, so im a bit worried the mortgage valuer will come in lower.

Abbey svr is 4.29% which is better than anything else i can find, so will probably stay on that unless i can find anything else.

I have spoken to my husband and he doesnt want to use our savings, so that doesnt really leave other options, i was just wondering whether someone had come accross a good rate for 85% LTV that i had maybe missed.

Thanks for all the advice

opinions4u

michmush77 wrote: »

Hi, i am currently remortgaging from abbey and am looking for a good deal, has anyone come accross one, i have been searching the internet and have spoken to 3 brokers, but they are all rubbish

You've looked in the obvious places. I'd be gobsmacked if somebody came up with a 3% fixed for five years deal that was missed by the brokers.

My property value is 175,000
My mortgage is 147,000
25 years to go!

This is 85% LTV

But estate agent valuations for sale are typically 10% higher than you will obtain in the current market. You may well be struggling to get any sort of remortgage.

Please help i feel we are getting ripped off!!

Welcome to the world of the Credit Crunch. Tell us what sort of deal you were genuinely expecting to be offered by lenders who are struggling to raise wholesale funding and dealing with rising losses on parts of their mortgage lending.

michmush77

A little patronising.....some of "us" dont understand the mortgage business too well or i wouldnt be asking on here!

Thrugelmir

If you want a cheaper deal then you need to repay more capital off your mortgage.

Calling what's available as rubbish is nonsense. Your LTV sets the risk for the lender. Thats what you've got to address. If your savings are earning less interest on than on your mortgage. Then the answer is in your own hands.

Interest rates are more than likely going to rise in the next 2/3 years. So best to make plans now. Whilst rates are still historically low.

opinions4u

michmush77 wrote: »

A little patronising.....some of "us" dont understand the mortgage business too well or i wouldnt be asking on here!

In what way was it patronising? I have tried to explain a couple of things that you've asked about (and freely admit you don't understand) and tried to guage why your expectations are where they are.

I've even commented that you've looked in the right places for information so far.

Please explain.

(by the way, you were the one who said "Hi, i am currently remortgaging from abbey and am looking for a good deal, has anyone come accross one, i have been searching the internet and have spoken to 3 brokers, but they are all rubbish". Rather calls in to question the professional integrity of mortgage brokers, who are exactly the people on this board who are best placed to help you).

michmush77

Thank you for your advice thrugelmir, i also realise it is best to make plans now as the interest rates are so low.
I think i will contact Abbey and see what else they might be able to offer.

Thrugelmir

michmush77 wrote: »

Thank you for your advice thrugelmir, i also realise it is best to make plans now as the interest rates are so low.
I think i will contact Abbey and see what else they might be able to offer.

I'm not suggesting you use all your savings. Keep an emergency fund.

Though reducing your mortgage now may not save an enormous amount of interest. Multiply the monthly saving by the number of months left to run on your mortgage. You may find the result somewhat surprising.

brit1234

your right, everyone should be overpaying there mortgages at the moment due to low rates and falling house prices.

If rates go up and house prices continue to fall you could be in a pickle for deals. Overpay whilst you can.