Self employed mortgage help needed !

JANE3001

Hi Guys

Myself and husband both self employed and trying to sort out a mortgage to get on a better rate currently on 5.19% this runs to jan 2012 but would like to remortgage now and pay exit fees, one to reduce rate and two to borrow a little more to consolidate some things.

Have 2 years audited accounts but after my accountant does the end of year even though my gross looks ok my net doesnt end up being enough to warrant my existing mortgage!

Any advice or people to talk to would be great?

Many thanks

J

_Andy_

What kind of net profit do you have on the accounts?
How much do you want to borrow?

BTW seems a little crazy to pay to come out of a low rate like that

JANE3001

Net profit is only showing at 16000 per annum and looking at borrowing 125k...existing mortgage 113k - yes i know that thought about staying put has crossed my mind just would be good to put a loan i have onto the mortgage so monthly outgoings go down but yep I know where your coming from.
Thanks J

_Andy_

With a net profit of 16k you won't be able to obtain a mortgage that large

dancingfairy

It is not usually a good idea to turn unsecured debt into mortgage debt.
Unsecured debt -there is less a creditor can do whereas if you turn it into secured debt and anything happens - loss of job/income etc you run a much greater risk of losing your home.
Perhaps looking at restructuring the loan another way would help? Or if things are difficult look at contacting a debt charity?
The other thing is that often debts creep up - people remortgage etc then they have more money then the debts creep up again and agin they remortgage and before you know it your in deep trouble.
Please think carefully about this.
df

JANE3001

Thanks guys, i should be glad ive got a good accountant! but you know what I mean!

Now ive got to hope that when we come to remortgage in jan 2012 that our net is up which is the plan or that we can find someone to help us then.

Thanks guys J