little help wanted....

LolaLemon

please go easy on me, this is my first post on such a big issue.

im looking to remortgage my house, its current 'market value' is around £80,000 - £85,000 (according to estate agents) although i do know that my type of house is not selling for those amounts.
My outstanding mortgage is around £64,000.

would you be able to advise on where i could get the best remortgage deal?
and how i find out what banks/building societies etc ould lend on a timber house?
im currently with northern rock, out of my fixed term, so can move as and when

i had a 20 year loan, was hoping to reduce that down to 15 this year, but i got made redundant at end of 2009, so that has put that out the picture

the house is in my name only, im a single parent of a 3 year old, i am also a full time student with a student loan of around £7000 per year, and i have just recently gotten a job with 16hours per week at minimum wage (£94 per week)


what are my hopes of getting a good deal or am i best to just stay with northern rock, currently paying out around £450 a month

somethingcorporate

I doubt you would get a mortgage with so little income.

Go and see a whole of market broker to discuss your options but they are likely to be few and far between which will leave you paying NR SVR until your situation changes.

Burridge60

Agree as above it is highly unlikely until you have a more substantial income to rely on.

NR can't take your mortgage away from you unless you break the mortgage conditions or fail to pay it and even then they have to go to court. You are stuck with them and they with you until someone else would be willing to lend to you.

Most lenders' affordability calculators will assess what living expense you and one dependent would need and factor this in before finding that you would not have enough left to service a mortgage. They will assume a higher rate than you are paying right now to ensure long term likelihood of affordability.

A Mortgage Advisor will need details of your Income, Child Benefit, Working Family Tax Credit, Child Tax Credit and maintenance if you get it. As well as details about your debts and liabilities to be able to do an accurate affordability calculator.

Meeper

Agree with above x2.

beecher2

I'd really think about selling up and renting. That's a huge chunk of your income - i don't know how you're doing it.

LolaLemon

Thank you for all replys, i thought that would be the general consensus

to be honest, i dont really know how ive been doing it either.
i did have savings, but that has been used to pay the mortgage.

i couldnt sell, not even if i wanted to, i live in a timber house, not timber cladding, but total timber walls.... didnt know when i bought my house that i would need a 25% deposit due to the build, but northern rock messed up, by not telling me that till the day i was due to pick up the keys, even though i had been in contact with them on and off for 2 years regarding these types of houses and at least once a week in the 4 months prior to actually making an offer, and me asking if they take on timber houses, so they went back to check the calls and let the mortgage go through at 10% deposit (i think it was more, but cant rememebr now).
Due to the recession, not many are able to afford 10% never mind 25%. in the past 2 years, their has been 4 similar houses put on the market along the street to mine, valued between £80-£85k, only 1 has sold, 2 are still on the market and the other has been let out as the couple moved to london for work.


im rambling, sorry... lol