NR Together mortgage Option

angeljay

Hi,

Can someone give me some advice on whether this is a good idea or not, I currently have a Joint mortgage with my ex partner on my property of 98K..... approx 75k is secured and 23k is unsecured i believe the house to be worth around 90k.

A friend has suggested i remortgage the secured part of the property in my name only. I know this will bump up the interest on the unsecured part but they have said I should then go into a debt management plan with that loan and the 6K on credit cards I have outstanding. Is this possible?

Basically I want to keep and stay in the property I live in, however i know once interest rates go up I am going to struggle to pay the mortgage once NR put their rate up as I am not on a fixed mortgage. So i therefore thought I could keep the secured part allowing me to live in this property whilst paying off my other debts slowly!

Or

Do I just hold out till interest rates go up and then just contact NR explain I cannot afford the payments and try and sell the house. However selling incurs more costs which I dont have!

Thank you.

Niv

Have you discussed this wiith your ex-partner? Are you still on good terms?Who's name is the unsecured loan in? You state that you will struggle when interest rates rise, are you sure you can even get a mortgae in your name only for the sum you require?

I think your situation may be a little more complicated than you think (or at least indicate with your OP). I think a little more info is required on this one.

General advice I would give (ignoring teh ex issue) is that all the time the interest rate is low on your mortgage it may be wise to get rid of as much of teh high interest debt you have first. Remortgaging costs and so will only add to the debt you already have.