Remortgage query: Urgent

hsirk

Hello fellow MSE's,

I was on a 2.9% Natwest Tracker Mortgage and this deal has come to an end. I was out of the country for the last 3 months and have comeback to find letters from Natwest asking me to switch to a new deal. I missed these letters being away. However the last letter mentions I have now been switched over to the Standard Variable Rate which is 4% increasing my monthly payments by £180 or so:mad: from this month.

What are my options? This is my first ever mortage so am clueless as to what should I do next. I had put down a 30% deposit and was paying back with the repayment option.

Please help!

GMS

As you are now on Standard Variable Rate you are free to leave if you choose without penalties.

Do you live in the property or is it rented out?

What do you now owe to Natwest and what do you think the property is worth?

Speak to Natwest and see what they could offer you in terms of a new deal. From there look at other lenders or engage a broker to look for you.

hsirk

GMS wrote: »

As you are now on Standard Variable Rate you are free to leave if you choose without penalties.

Do you live in the property or is it rented out?

What do you now owe to Natwest and what do you think the property is worth?

Speak to Natwest and see what they could offer you in terms of a new deal. From there look at other lenders or engage a broker to look for you.

Thank you :T

Will they change it before the payment goes out on the 25th of this month or will I have to pay them this month at the SVR

I do live in the property. The property value almost is the same when I bought it in 2011. Maybe it has gone down by about 5k or so, not sure.

Whats the best place to check current property prices by area and see if they have gone up or down in the last year. Where I live the prices tend to remain same or go up as this development is very much in demand.

GMS

Sold comparables are what the lender valuer will look for. Try rightmove, nethouseprices etc to see what they are like. Look at for sale properties too.

Natwest may change very quickly but best to see if there is anything better available elsewhere. 1 or 2 months of a higher payment will be worth it if a better product is available to you for the longer term

hsirk

GMS wrote: »

Sold comparables are what the lender valuer will look for. Try rightmove, nethouseprices etc to see what they are like. Look at for sale properties too.

Natwest may change very quickly but best to see if there is anything better available elsewhere. 1 or 2 months of a higher payment will be worth it if a better product is available to you for the longer term

Sounds good...I shall look up whats on offer. Would you advise to take up a fixed or tracker deal and that too for 2 or 5 years?

I was on an 18 month tracker deal at present.

GMS

hsirk wrote: »

Sounds good...I shall look up whats on offer. Would you advise to take up a fixed or tracker deal and that too for 2 or 5 years?

I was on an 18 month tracker deal at present.

It's down to personal choice. If you want security of knowing the payments then consider a fix. If you are happy to take a chance on payments going up then look at a tracker. Term of fix/tracker is again a personal choice.