Need a small mortgage (around £25,000)

ticktockhouse

Hi,

I find myself in a bit of a pickle with a leaky roof.

I am mortgage free in my own property, but with a rather substantial amount of personal debt. I'll spare everyone the details, suffice it to say, my family and I haven't been the best Moneysavers up until this point.

I'd like to take out a very small mortgage, relatively speaking, to pay off this debt, fix my leaky roof, and a few other things around the house, as we're looking to move in probably around 5 years - it will give us a head start on getting it ready to sell, while letting us enjoy the benefits.

My preliminary research tells me that a minimum amount to borrow would be £25,000. I'd like, if possible to pay this off over a 10-year period, as this seems to be about right for monthly repayments for me at the interest rates I think I'd be likely to get.

If I could get on top of this debt, I think I'd be able to save quite a large amount each month, so I could quite easily use savings to offset if that's an option...

Can anyone advise me as to whether I'm being realistic here? And where I might find the best deals. I am what could be termed a mortgage newbie...

Thanks in advance.

Jerry

herbiesjp

I'm guessing that the property value is at least more than double the mortgage amount you are looking.

You should have the pick of the market, assuming no adverse credit history.

So you can either DIY and look at comparison sites, or find an adviser who will help you find a good deal.

If you do turn the unsecured debt into secured debt against your property I would look to clear the debt as quickly as possible, in order to pay less interest back overall.

Conrad

Jerry watch out for certain lenders that wont allow this amount of debt consolodation in relation to the size of the existing mortgage (in your case nil).

Be sure they class your borrowing as a remortgage so you get free legals and valuation. Some inexperienced staff will not be aware of this.

getmore4less

If £25k is more than you need then an offset mortgage would get round this min mortgage issue.

Also hany if you plan to do the work over a period you just draw own when you need it.

Always woth borrowing a bit more than you need in case costs escalate, f ofset and don't use it it costs nothing, If you don't get enough then you have to do it all again.