Northern Rock

joeblack066

Hi there. I know that there are a few Brokers around usually, and I just wanted to ask a quickie! Do Northern Rock do terms of more than 25 years, and if so, would they be likely to agree to swapping an existing mortgage to a longer term, or would it be classed as a complete remortgage?

homer_j_3

if you want to extend your term without altering your borrowing then a small admin fee should cover this. Call customer services and they will help. No need to completely remortgage.

joeblack066

Thanks homer_j! I think that this will be a good line of enquiry for me to follow. At the moment I pay interest only, mortgage amount £147k , 22.5 years left on a 25yr original term. I pay £920 pcm, and my rate has gone up to 7.24% (sub-prime, can't get better). What do you think a ball park figure could be if they would go to say adding 10 years on? And do you think they would as I am 44?

homer_j_3

if you are on interest only - the term makes no difference.

joeblack066

Ah, hadn't tought of that! Of course it doesn't! Perhaps I need to ask them what the payments would be on a repayment over the longer term then? Perhaps that's what I was thinking really but hadn't applied my brain properly! Doh!!

homer_j_3

it wont be cheaper than interest only

joeblack066

Well no, but if it comes out at similar would it be better to be making some inroads into the capital or not?

homer_j_3

yes repayment mortgage will benefit you in the long run. Are there overpayment facilities on your mortgage. I dont have my stuff at home.

joeblack066

Thanks for your help, I will call them in the morning for a chat I think! Can't hurt. Thanks again!