Coming to the end of a fixed rate mortgage and negative equity

bn06amp

First time poster on here so please go easy!

Basically we have had a 3 year fixed rate deal with Halifax, that comes to an end next year and moves to a inflated variable rate deal. When we bought the property, we used Bellways 75/25 scheme. The purchase price was £120,000 made up of a mortgage of £90k and interest free Bellway loan of £30k.

Current caluations on the property are approx £105k-110k, leaving our negative equity standing at somewhere between, £11125 and £7500.

My main question is, when we look to change our mortgage deal will this count against us, even though the actual value of the mortgage is lower than the value of the property (sorry if this is confusing).

What do people reckon the chances of offering Bellway a deal for example, as the negative equity is likely to restrict us from moving, maybe offer them £15-20k to settle the £30k loan and add the extra amount onto the mortgage?

Any advice very much appreciated!

_Andy_

Adding the extra wouldn't be possible even if they did take a reduction (which I don't see them doing) due to the high LTV.
Halifax will probably offer you a new fixed rate (assuming you want one). Contact them nearer the time.
Changing mortgage lenders won't be an option.

bn06amp

_Andy_ wrote: »

Adding the extra wouldn't be possible even if they did take a reduction (which I don't see them doing) due to the high LTV.
Halifax will probably offer you a new fixed rate (assuming you want one). Contact them nearer the time.
Changing mortgage lenders won't be an option.

Quite a negative picture overall then!