Interest only?

bungle7

Hi looking for abit of advise here, My wife has been off on the sick for 10 months now due to stress at work, she is a teacher.
I am concerned that due to the effect that its had on her health that she may not return to work at least for another 6 months if at all. Currently she has a few months at half pay remaining before things get difficult with payments. We did not have mortgage protection in place!

Our mortgage is 139000 and currently our house is valued by Nationwide at 146000. The mortage is divided into three, two of those on the svr @ 2.5% the other around 61000 on 5.6% fixed rate which is tied up to 2013. Total current mortgage payments at 673.

At present I am in the belief of changing the mortgage to interest only, for the time being at least !

We have a foriegn property and would be planning to sell the house down the line and down size in order to pay of the mortgage.

Any thoughts.

GMS

Speak to Nationwide asap. Explain that there will be potential payment difficulties looming.

Your LTV is approaching 100% so they may not be keen on interest only, certainly not for a new customer at that level but you need to try to arrange something if only in the short term.

See what they will be prepared to do to assist.

Good luck

dimbo61

If Nationwide did allow you to go onto IO it would at best save you £240 a month but with a LTV of 95% I dont think they will allow it.
Can you sell the other property?

bungle7

At present I have the other property up for sale but it could be sitting for sale for a while in this climate, have thought about selling my current home but aren't moving the best so interest only might be the best option for the moment. Will contact Nationwide this week.