Mortgage Options

kittybangbang

Hi Everyone!

I was wondering if I could get people's opinions on what would be the best option for me.

My partner and I would like to move to a bigger house. He has never had a mortgage, and my mortgage is currently £66,500 @ 2.5%. My current house value is probably around £110,000.

I was thinking, that as I am on a low rate BMR mortgage, that we should top my mortgage up to the max amount. Then he could borrow the remainder in his name. (I'm reluctant to leave the deal I'm on, as this BMR isn't available anymore.)We'd be looking to borrow a total of about £160,000.

He has about £10,000 saved up so far, and we'd be looking at houses around the £200,000 mark.

Can anyone please tell me if I'm thinking about this all the wrong way? I feel like I'm missing something...

Dave_Ham

Sorry - this is not quite how it works.

Firstly speak to Nationwide and ask how they will treat this case. I think they will "subject to criteria" allow you to port the mortgage and potentially add partner.

They will then "subject to circumstances" offer you a second product for the remainder of the amount needed.

You then need to weigh this up with a totally new mortgage in joint names at 1 new rate.

My gut feel says that the additional product rate will negate the benefit of the BMR, although unfortunately without knowing what this rate is will be unable to validate this claim.

Speak with Nationwide first - good luck

kittybangbang

I thought it sounded too easy to be true.

Thanks for your reply Dave Ham. Haha, how did you know I was with Nationwide?! You really do know your mortgages inside out..!

I will talk to them, just didn't want to go in there without knowing what I was talking about.