help/advice on re-mortgage?

carolandjean

Hello everyone
I hope there is someone out there who can offer myself and husband advice on our situation.
we have an interest only mortgage for 64k which is due to finish in Feb 2012, due to financial problems we cashed in the endowment several years ago but still pay the interest monthly. our property is worth 235K. we are both 59 and will be 60 when the repayment is due.
We had a voluntary IVA which was completed in May 2008.
We are not sure if it will be possible to re-mortgage or if we will need to sell and move into a lower priced property.
By the way my husband is self employed as a sub-postmaster.
Thanks in advance
Carol

Thrugelmir

How you intend repaying the capital balance?

GMS

There may be a possibility of a mortgage but you would need a relatively short term due to age and the payments may be too expensive.

Why not sell, clear the mortgage and buy another place for cash?

carolandjean

We are hoping to raise the capital balance by re-mortgage if possible.

GMS

You need to speak to a good broker.

With an IVA on record you will struggle with the high street lenders.

Is there any other adverse credit, i.e CCJ's, defaults or missed payments?

Who is your current lender?

getmore4less

carolandjean wrote: »

We are hoping to raise the capital balance by re-mortgage if possible.

And how and when do you plan to pay that off?

carolandjean

No other debt problems. Our current lender is barclays, we have been with them since we took out the mortgage in 1992.

dimbo61

Can you make any overpayments to the mortgage now ?
If you start to pay even a little of the mortgage extra each month you will have a lower balance come feb 2012.
£1000 a month would clear the £64K in 6 years at a mortgage rate of 4% so overpay if you can!

Thrugelmir

carolandjean wrote: »

We are hoping to raise the capital balance by re-mortgage if possible.

Remortgaging does not repay the £64k you owe. Merely transfers the debt owed to another lender.

In a years time your current lender will request the repayment of the £64k.

So you need to consider how you intend repaying this before your retire. As I imagine you would prefer to remain in the house than sell it.