2 Mortgages on same property - can we remortgage to new lender?

bec54

Hello

We took out a fixed rate with Nationwide several years ago. When we moved to a bigger house & took on a bigger mortgage we stayed with Nationwide & took out a 2nd fixed rate mortgage for the extra amount. This suited us at the time as we had 1 fixed rate with 3.5 years to go, and 1 fixed rate with 2 years to go, somewhat bolstering us a bit if rates were to go up or down.

The shorter rate one has now expired (and so our rate has plummeted to 2.5% while interest rates are low). However, we're still looking at moving back onto a fixed rate.

Can anyone help me please with experience on this? Are we only able to keep 2 separate mortgages with the one provider? i.e. this would mean we have 2 options now - remain with Nationwide and fix this 2nd rate one now with them, or wait it out until the other fixed one has finished and then look at whole of market? I assume that if we wanted to shop around now we will have to pay the Nationwide exit fees & early redemption fees etc etc on our current fixed rate.

Many thanks

Rebecca

Thrugelmir

You have one mortgage with two sub accounts. The sub accounts can have different products. I.E. one fixed and one tracker.

If you wish to remortgage with a new lender then the entire balance with the NW will need to be settled.

No main stream lender will accept a second mortgage charge on a property.

Wh05apk

Depending on the figures, I would sit this out on SVR, and refix both when the next part is due, otherwise you will have extra fees to arrange, and the two parts will always be out of step, take this oppurtunity while you have a low rate to get the two parts in line.

I would look to be overpaying to the equivialant of a comparable fixed rate now, so you build reduce the balance, so when rates rise, the increase will not be as large.

getmore4less

What's the rate on your fixed bit if more than 2.5% overpay that with the money saved upto the penalty free limit.