Sorry if this is a silly question asked 100 times before... but

giddypenguin

We are about to remortgage, and it's looking likely that we are going to move from a Lloyds tracker, to Britannia's 5 year fix at 2.79%. I've run through and got the quotes etc... the thing is (and I'm sorry if I'm over thinking this) how much do I ask for? It's probably going to take a few weeks to sort out isn't it? By then we would have paid some more (albeit, only a couple hundred pounds) off the mortgage. So do I ask for what my mortgage statment says I owe now, and they'll tie it up later, or do I work out what we'll owe in a month's time (or two, depending on how long it'll take to sort out) and ask for that.

I'm sorry if I'm making this too complicated... I've got myself in a right pickle over all of this.

Does any of this make sense?!

Jimbo1976

Its not that big a deal really. Apply for what you think you need. Don't forget your existing lender will probably charge you an exit fee.

If you apply for a certain amount and it isn't enough to repay the mortgage then the conveyancer will ask you to top it up.

If you borrow too much, you should be able to repay the bit you don't want via a lump sum reduction.

Gary123456790

Tell them what you think it'll be at that date it changes, or at least a 'no less than' figure. It will depend on what day you remortgage and any final fees from the old lender as to the exact amount but dont worry.

The old lender will work out the figure on the day of remortgage and new lender will redeem for that amount.

Its only a worry if you are close to an LTV boundary because if remortgage amount is a bit higher or valuation a bit lower you might not qualify for the deal.

Dont worry about it. Unless there are any skeletons in your credit history closet of course!

Gary.

giddypenguin

Thanks - That's good to know.

We are way under the threshold for the deal (deal says <60% I think we are at about 16%) and I've only known my husband to miss one payment for anything in 6 years, which was when he switched banks and the electric DD wasn't switched, and that was all done before we took out the last mortgage.

I don't think there are any fees to pay lloyds - we are at the end of our tracker deal now and will be moved onto their SVR next month. So there shouldn't be any fees should there?

Jimbo1976

I think Lloyds will charge you an exit fee to close down your mortgage. This is different from early repayment charges etc. Check you last mortgage offer letter and it should detail how much this will be

kingstreet

Ask the current lender for a redemption figure.

It may be a little lower by completion, but the money that's left over can normally be paid back to the lender as an overpayment as long as it's within any ERP overpayment limits.

Thrugelmir

giddypenguin wrote: »

I think we are at about 16%)

Can I ask how much you owe?