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Re-mortgage or Consolidate?

Just after a bit of advice really.....

We bought our house in 2005 paid £90,000, currently owe £77,000 and have 17 years left, recently had house valued at £130,000.

In 2007 we were going to have work done on the house so took out a secured loan of £25,000 to do the work, we were badly let down by the builder and in short never got our work done or the deposit we gave him back, we used the remainder to pay some debts off, we owe £21,000 and have 10 years left on this.

We have c/c debts of around £9k between me and other half.

We don't pay our cards in full but we always pay more than the minimum. What i want to find out is would it be more beneficial to re-mortage to get rid of the secured loan and c/c debt.

I would love to move home but obviously wouldn't think it would be possible to take on a bigger mortgage with our current debt, the new property i've looked at is currently on the market for £170k, has been on market for a while so maybe possible to get a bit chipped off.

I haven't had the chance to speak to a mortgage broker as yet, thought i would see if anyone here could give us their thoughts.

Comments

  • Thrugelmir
    Thrugelmir Posts: 89,546 Forumite
    Part of the Furniture 10,000 Posts Name Dropper Photogenic
    Rather than look at increasing your mortgage. Tackle your existing debts. In the current financial climate you may well find main stream lenders not interested in debt consolidation.
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