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New property ... new mortgage?
OnlyMe_08
Posts: 283 Forumite
Hi
Just exploring options at the moment and was thinking of 'upgrading' to another property, and would like to understand how the process works.
If say we have £100K balance to 'close' our existing mortgage and could say get £200K from the sale of our existing property, this would mean we would have £100K to put towards the new property - right?
If so, I guess we could look at a £400K home, put the £100K towards it and get a 75% LTV mortgage, thus the loan would be £300K?
If that is the case, what would the monthly payments be on a repayment mortgage? Also, what rates are the mortgage providers offering these days? And someone mentioned 'porting over the mortgage' - what does this imply?
Thanks for any advice.
Just exploring options at the moment and was thinking of 'upgrading' to another property, and would like to understand how the process works.
If say we have £100K balance to 'close' our existing mortgage and could say get £200K from the sale of our existing property, this would mean we would have £100K to put towards the new property - right?
If so, I guess we could look at a £400K home, put the £100K towards it and get a 75% LTV mortgage, thus the loan would be £300K?
If that is the case, what would the monthly payments be on a repayment mortgage? Also, what rates are the mortgage providers offering these days? And someone mentioned 'porting over the mortgage' - what does this imply?
Thanks for any advice.
0
Comments
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Hi
Just exploring options at the moment and was thinking of 'upgrading' to another property, and would like to understand how the process works.
If say we have £100K balance to 'close' our existing mortgage and could say get £200K from the sale of our existing property, this would mean we would have £100K to put towards the new property - right?
If so, I guess we could look at a £400K home, put the £100K towards it and get a 75% LTV mortgage, thus the loan would be £300K?
If that is the case, what would the monthly payments be on a repayment mortgage? Also, what rates are the mortgage providers offering these days? And someone mentioned 'porting over the mortgage' - what does this imply?
Thanks for any advice.
not sure about most but yes, 200-100=100Hi, we’ve had to remove your signature. If you’re not sure why please read the forum rules or email the forum team if you’re still unsure - MSE ForumTeam0 -
Looking at the cheapest ? 5 year fix from coop at 3.99% ( fee £999) £300K over 25 years works out at £1581.85 a month for 5 years with a 75% LTV
You would need to be earning £65K to £75K a year to afford that level of borrowing.
After 5 years you would have paid off approx £39K0 -
With regard to porting your existing mortgage
You might be able to TAKE your existing deal onto the new property and borrow the other £200K at the best deal you can find with your existing lender!0
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