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Remortgage - potential costs?
gavcradd
Posts: 110 Forumite
Hi, I'm looking into re-mortgaging and I'm not sure of a few things - hopefully someone can help me out with!
I took out a 100% professional mortgage (we're both teachers) with Standard Life in 2006, with a 3 year fix at 5.39%. When the fix ended, the variable rate was also 5.39%, so I've been paying the same amount now for over 5 years. My wife is on maternity leave at the minute and although we wouldn't be desperate if interest rates went up, I'd rather they didn't! I've seen a 90% re-mortgage at, again, 5.39% with HSBC that's fee free and fixed for 2 years. This sounds great, it would give me the security of having the fixed amount until my wife is back at work properly. The lack of fees is also great as what small savings we have will be needed for the new baby.
However, "fee free" I assume, means no fees from HSBC, but I'm trying to work out what other payments would be needed. There's a £200 exit fee from Standard Life, what else have I not thought about?
Do I need a solicitor for a re-mortgage? Will the fact that she's on maternity leave affect the application? Our current usual salaries are £40k (me) and £17k (her, part time) and the outstanding balance is £115k
On a different note, should I be jumping in at this point or will the rates for 90% mortgages keep dropping?
Thanks!
I took out a 100% professional mortgage (we're both teachers) with Standard Life in 2006, with a 3 year fix at 5.39%. When the fix ended, the variable rate was also 5.39%, so I've been paying the same amount now for over 5 years. My wife is on maternity leave at the minute and although we wouldn't be desperate if interest rates went up, I'd rather they didn't! I've seen a 90% re-mortgage at, again, 5.39% with HSBC that's fee free and fixed for 2 years. This sounds great, it would give me the security of having the fixed amount until my wife is back at work properly. The lack of fees is also great as what small savings we have will be needed for the new baby.
However, "fee free" I assume, means no fees from HSBC, but I'm trying to work out what other payments would be needed. There's a £200 exit fee from Standard Life, what else have I not thought about?
Do I need a solicitor for a re-mortgage? Will the fact that she's on maternity leave affect the application? Our current usual salaries are £40k (me) and £17k (her, part time) and the outstanding balance is £115k
On a different note, should I be jumping in at this point or will the rates for 90% mortgages keep dropping?
Thanks!
0
Comments
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Hi, we've just remortgaged with HSBC and took one of their 'fee free' deals. There were no extra costs as we didn't have an exit fee or early repayment charge on our current mortgage and HSBC's solicitors did the paperwork and there was no cost to us.
Can't comment on the 'goodness' of the 90% fixed deal as I'm more of a fan of trackers myself.0
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