Re-mortgage???

mk_saver

My Girlfriend and I have a repayment mortgage which started out as a 2year fixed and has now been 2.5% above the base rate for the last year. The mortgage was 100% for 100k, Over the last three years we have paid around 5-6k back.

my question is with the possibility of rising base rate am i best to remortgage and would this be possible with at best my house being valued around the original figure of 100k. Therefore I would need a 95% mortgage is this possible.

Additional info:

Current monthly payment = £433
a rise in the base rate of 1% = Approx £59 rise in mortgage payment

Any help / guidance is much appreciated

dimbo61

Got to ask what was the fixed rate ? and I bet £100,000 it was higher than 2.5% which is your current rate.
So after 2 years of paying Say £750 a month what did the payment drop down to?
Now did you contact your lender and ask them to keep the payment static ? at the old higher rate!
If not what have you done with the saved money each month ( saved in cash ISA,s paying 3% tax free)
As for moving lender with a 95% LTV at best I think you will struggle
Overpay while rates are low

Meeper

There is no scope for you to re-mortgage at 95% LTV, and even if there were, it wouldn't be anywhere close to 2.5%.

You should absolutely take the above advice and overpay back to at least your previous levels while rates are low in order to reduce your balance as much as possible.

mk_saver

I will take the above advise and try to overpay, however we are currently trying to save/pay for our wedding in 2012. The fixed rate that we were on during the fixed period was 6.67% paying £654 dropping down to £433 currently. I have been fairly sensible with the money i was saving on my mortgage, during the last year became credit card free, payed of my car loan and nearly student loan free.