remortgage deal !

raq

Hi,

Just about to pay the last fixed rate deal on my mortgage on 1st december 2009. Hurray I say.

Hubby self employed and 2 years ago had a self cert. We have been paying a little over the odds but unfortunately we had no other choose as we only had 1 years books. Spoke to our financial advisor and advised us to stay with Amber Homeloans as they are now putting us onto repayment variable ( we have always had repayment ).

Figure is 3.75 ( 3.25 % - over the bank of england rate ). Will be roughly paying £705.00 per month on the new deal.

We owe £129,000.00 over 21 years and got £100,000.00 equity in property.

We are saving quiet a bit which at present is lovely as my husbands work is a bit slow at the moment.

I want to stay as we cannot find the additional monies to keep changing over lenders, although our f.a. did state because of this to stay PUT for the time being.

Any advise would be great.
Thanks

_Andy_

Hi

Not sure what advise you're after as you've stated you don't want to move lenders?

Wutang_2

raq wrote: »

Hi,

Just about to pay the last fixed rate deal on my mortgage on 1st december 2009. Hurray I say.

Hubby self employed and 2 years ago had a self cert. We have been paying a little over the odds but unfortunately we had no other choose as we only had 1 years books. Spoke to our financial advisor and advised us to stay with Amber Homeloans as they are now putting us onto repayment variable ( we have always had repayment ).

Figure is 3.75 ( 3.25 % - over the bank of england rate ). Will be roughly paying £705.00 per month on the new deal.

We owe £129,000.00 over 21 years and got £100,000.00 equity in property.

We are saving quiet a bit which at present is lovely as my husbands work is a bit slow at the moment.

I want to stay as we cannot find the additional monies to keep changing over lenders, although our f.a. did state because of this to stay PUT for the time being.

Any advise would be great.
Thanks

Assuming the 3.75% new rate as of Dec is an improved rate then you can stick with it and potentially overpay.

You will now have 3 years books though and with the equity ask your mortgage guy what the next best option is they have available...

If there are fees and its quite high then chill out and take advantage of the rate.

Wutang_2

_Andy_ wrote: »

Hi

Not sure what advise you're after as you've stated you don't want to move lenders?

I assumed mortgage.....now I wonder??

Maybe its about saving quiet money or the repayment variable??

raq

_Andy_ wrote: »

Hi

Not sure what advise you're after as you've stated you don't want to move lenders?

sorry I know but just wanted to know if this is an OKAY deal really.

raq

Wutang wrote: »

Assuming the 3.75% new rate as of Dec is an improved rate then you can stick with it and potentially overpay.

You will now have 3 years books though and with the equity ask your mortgage guy what the next best option is they have available...

If there are fees and its quite high then chill out and take advantage of the rate.

f.advisor mentioned that there aren't many lenders out there now who are willing to take on self employed clients , although as stated got the £100k equity in the property. We are also in a good area whereby as soon as the houses or up for sale they are sold within a few weeks. Prices did come down last year but nowhere near compared to other areas.

I am happy to stay put just wanted a bit of reasurrance before we start seeing the paperwork come through

_Andy_

I assume though that there must now be proof of income available?

dimbo61

If you have now changed from a fix to the tracker at 3.25% over BOE base 3.75% well I hope and guess you must be paying less each month on mortgage payments.
Now if you can I would use the money you are now saving to build up some savings and at the same time overpay say 50/50
If in a few months you can get a good deal from a main high street lender with a deal you are happy with you will have the money in the bank to pay the fees and charges.
3.75% is a good rate BUT rates will go up so save the extra money you now have!

raq

dimbo61 wrote: »

If you have now changed from a fix to the tracker at 3.25% over BOE base 3.75% well I hope and guess you must be paying less each month on mortgage payments.
Now if you can I would use the money you are now saving to build up some savings and at the same time overpay say 50/50
If in a few months you can get a good deal from a main high street lender with a deal you are happy with you will have the money in the bank to pay the fees and charges.
3.75% is a good rate BUT rates will go up so save the extra money you now have!

thanks for this info really appreciate it.

raq

_Andy_ wrote: »

I assume though that there must now be proof of income available?

yes we have now got proof but on the books it isn't huge amount of income per month and just about 3 1/2 times the salary if you look at it this way.

_Andy_

3.5 x income should be achieveable with another lender - no need to self-cert if you can prove income.