moving house mortgage advice

james_walker

hi guys, 1st post so be gentle

we are looking at moving house, we have a solid offer on our home just now. with the new home/mortgage im wanting to consolidate a car loan i have into it, to make the new mortgage affordable for us

so some figures for you experts

our house selling for £78000

we have equity of £14000

new home looking at around £115000 to £120000 tops

the loan i want to lose is £5000

we can get the mortgage no issues, but as i can see it the consolidation of the 5k is causing us issues with the ltv.

the figure natwest have given me takes the ltv to 88% not including the loan consolidation.

the loan costs me £188 pm, i need rid of this to afford the new increase in the higher mortgage

hope this makes sense and advice is greatly appreciated and needed before we go spare......

thanks alot

ACG

The most you can get is 90% LTV.

Can you not consolidate part of the loan?

Appologies for the direct line, but i cant think of a better way to put it.... If you cant afford the new mortgage and the loan, then you cant really afford to move. If you know that, im pretty confident any underwriter will say the same thing, as theyre usually harsher than the people applying for the mortgage.

james_walker

we can afford to yes, just..... if i clear the loan then the increase pm on the mortgage is wiped out in effect...

i just want clarification on if this can be done or any other way you guys know to help.

frustrating that after 10 years in the same house i have a 14k deposit and still struggling to move...

hcb42

thankfully times have changed and lenders will not allow loans on such ltv any more.

If you can, part pay the loan and reduce the finance that way...then save like crazy to get rid of it.

sejdee

Sell the car, clear the loan, and buy something cheaper, if this is an option?