Mortgage bind

ashtrayjb

Hello I got a mortgage several years ago just before the slump in the market, so I paid top dollar for what now isn't, the payments are three quarters of my salary of which to date I have not missed one payment I had a 125% mortgage as I had some work done to the house and paid off a loan, now the lender was with northern rock now called nram, I have relieved letters saying they will not be taking on any new mortgages or loans etc which is fine, but in the five years I have been paying I have reduced my salary but still not missed payments, I would like to know about remortgaging my house for a better payment or reduced payment what do I do and how if anybody has any ideas please let me know or is it a case of just stick with what I got as the percentage is about 4% more or less and looking at the market mortgages are now like 1 or 2% so I am missing out here somehow I think.

Thanks for any advice

opinions4u

You're almost certainly stuck. The lowest rates you see tend to be available to people with lots of equity.

How much do you owe? How much is the house worth?

ashtrayjb

I pay £720pm house is worth don't know my mortgage is about£130000

Annisele

If £720 per month is three quarters of your take home pay, I'm guessing you earn about £13k per year?

If that's right, then I'm afraid you've no chance at all of remortgaging elsewhere - you'd be looking at 10x salary, but it's very unusual indeed for lenders to go above 5x salary (and often not as high as that).

Is your house worth more than £130,000? Long term, selling it and moving into rented might be an option for you.