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rip

Hi,
Wonder if anyone can advise me, I have a buy to let in Belfast and would like to get some equity out of it. Currntly the I owe 70,000 and would like 25,000 from it. The valuation is sitting at 130,000 with a rent coming in at 650 p/m. The problem is my credit rating is poor and I merely want to clear some debt. Our joint incomes are 40,000 and the repyments on the additional funds would be easily paid by the rental income. I just keep getting told by my broker that there is no point in applying as I will get knocked back. Any ideas?

Comments

  • Thrugelmir
    Thrugelmir Posts: 89,546 Forumite
    Part of the Furniture 10,000 Posts Name Dropper Photogenic
    Sell the property and start afresh.

    Lenders won't be interested in advancing further funds for debt consolidation.
  • poppy10_2
    poppy10_2 Posts: 6,588 Forumite
    Part of the Furniture 1,000 Posts Name Dropper
    You won't be 'clearing' any debt, you'll simply be transferring it on to your property.
    poppy10
  • Wh05apk
    Wh05apk Posts: 2,938 Forumite
    Part of the Furniture 1,000 Posts Combo Breaker
    Thrugelmir wrote: »
    Sell the property and start afresh.

    Lenders won't be interested in advancing further funds for debt consolidation.

    Why? It's quite common.
    I am a mortgage adviser.
    You should note that this site doesn't check my status as a Mortgage Adviser, so you need to take my word for it. This signature is here as I follow MSE's Mortgage Adviser Code of Conduct. Any posts on here are for information and discussion purposes only and shouldn't be seen as financial advice.
  • poppy10_2
    poppy10_2 Posts: 6,588 Forumite
    Part of the Furniture 1,000 Posts Name Dropper
    Wh05apk wrote: »
    Why? It's quite common.
    On a buy-to-let?
    poppy10
  • Annisele
    Annisele Posts: 4,835 Forumite
    Part of the Furniture 1,000 Posts Name Dropper Combo Breaker
    Your credit rating is poor, you're wanting to borrow more on a BTL to consolidate debts, and your broker (knowing your full circumstances) has already told you you'll get knocked back? Sorry, but I can't see any reason why a lender would want to let you increase your BTL loan.

    You might get some help over on the Debt Free Wannabee board. Post a Statement of Affairs (the stickies explain how) and the guys over there might be able to come up with some suggestions for you.
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