Re-mortgaging for the first time. Advice Needed!

sarahlou_3

Hi,

My partner and I bought our first house nearly 3 years ago. Our only option at the time was the HSBC 100% Interest Only Mortgage. The interest only deal runs out at the end of May so we want to re-mortgage to try and find a better deal.

Does anyone know who is offering the best deals at the moment. We're not sure whether or not to stay with hsbc and see what they can offer or move to another provider?

Also, we have built up about £11,000 credit cards debts since our last mortgage. Do you think this will affect our options? Should we try and consolidate this into the mortgage?

Any help and advice would be greatly appreciated!!

Sarah xx

herbiesjp

If you are looking at fixed rates I would suggest moving asap, as lenders are starting to increase their deals as we speak

What is the best deal will depend on your exact circumstances, as you need to find the best deal for you.

Your first port of call should be HSBC to see what they can offer you. Once you have got that information, you will then be able to see what rate you have to beat as it were.

If you are moving lender the £11k on cards will indeed reduce your mortgage potential if you are not clearing them. HOwever, whether they are enough to affect the mortgage amount you need will depend on your income.

Consolidation is an option, but you need to remember that by doing so you change unsecured borrowing into secured borrowing against your property and you could potentially end up paying back more in interest over the longer mortgage term.

Your credit history will also come into account, if you look to move lender

HTH

sarahlou_3

herbiesjp wrote: »

If you are looking at fixed rates I would suggest moving asap, as lenders are starting to increase their deals as we speak

What is the best deal will depend on your exact circumstances, as you need to find the best deal for you.

Your first port of call should be HSBC to see what they can offer you. Once you have got that information, you will then be able to see what rate you have to beat as it were.

If you are moving lender the £11k on cards will indeed reduce your mortgage potential if you are not clearing them. HOwever, whether they are enough to affect the mortgage amount you need will depend on your income.

Consolidation is an option, but you need to remember that by doing so you change unsecured borrowing into secured borrowing against your property and you could potentially end up paying back more in interest over the longer mortgage term.

Your credit history will also come into account, if you look to move lender

HTH

Thanks for your advice. I have made an appointment as HSBC next week to get things moving quickly!!