Remortgage but with less income!

MAZ74_2

Need advice, got problem.
Our mortgage fixed rate has ended, but we are struggling to re mortgage as my income has dropped 20k ( redundancy etc) since we originally got the mortgage 2 years ago, but I am working just part time hours
We are currently on interest only and with Santander, when I spoke to them the only option they gave me was a remortgage for existing customers which is on a much higher rate than we are paying.
Should we just keep going on the rate we are on which is low at the moment and pray rates dont go up for a while or try and remortgage somewhere somehow!

Thrugelmir

Why do you need to remortgage?

MAZ74_2

Well I suppose I thought it was the safer option rate wise. We do not need extra funds.

MAZ74_2

Also, I am aware that I could get a better deal moving to another company as we currently have rate of 4.64% and would be able to save money.
I have a young family so every penny counts at the moment, although working three different jobs only one is permanent employment the others are classed as temporary although it is purely for head count they are classed as temporary!!!

beecher2

4.64% is a pretty good rate - depending on your LTV you might not get a better one. You could go to see a mortgage adviser to see if they think another lender would offer you something - depends on the income multiples though

MAZ74_2

My Broker seems to think we will not be able to get remortgage due to income. LTV is 75%
I suppose I should count my blessings that we are paying the mortgage with no difficulty!
Does make you realise that we must have been wasting money before if we are coping with such a dramatic reduction in income!

maninthestreet

So what is your income, and how much is outstanding on your mortgage?

Thrugelmir

MAZ74 wrote: »

Well I suppose I thought it was the safer option rate wise. We do not need extra funds.

Ah ok. As you said

Should we just keep going on the rate we are on which is low at the moment

I was wondering why you'd be looking to remortgage.

_Andy_

Would be helpful to know what your income actually is

Evilm

You can get a broker to look but it looks like a better deal is not likely to come up for you right now.

In that case keep the current mortgage and try to pay a little extra off it to reduce the LTV. Once you've paid a bit more off and maybe your income has risen a little you can look again for a better deal?

Personally being on a fixed mortgage in the 5% range I'm a little jealous of your rate Its really not that high.