remortgage to buy second home- is interest only an option?

sally98

Hello

My hubby and I are hoping to remortgage our home to release equity to purchase a second home (for our own weekend use not btl).
We already have an AIP from Halifax.

current home value: £310,000
current mortgage: £162,000
AIP: up to an additional £100,000

What I would like to know is would it be possible to maintain 1 repayment mortgage for say £182,000 (to cover deposit on new home) and obtain an interest only mortgage for £80,000? Would we need to have a separate scheme for paying back the capital for the interest only or could we rely on the value of first home being enough to cover the second?

Also need advice finding a generous lender as this will be a bit of a stretch initially although adding value to second home will be relatively straight-forward.

Any advice gratefully received as would like to be armed with a few more fact before taking this further.

property.advert

The value of your initial home is irrelevant when working out how you are going to repay the capital element of the second property as it will never release any funds to you to pay off the second mortgage unless sold. It this case is useful only as surety for the loan, presuming a lender will take a view of the larger picture.

You'd think it would be simple enough. You would have assets of £410k and borrowing of £260k with a LTV of 63%. If you can find one to view it as that then stick with them as it is a little outside their normal tick box mentality.