What to do...

ctaylor

What to do?
Currently have a fixed 4.39% repayment mortgage which ends in Oct07. As interest rates are doubtless going to increase further I would welcome some advice on my next move. I will have a loan of £33K to repay and become sole owner. My property is worth approx.£210K with outstanding mortgage of £108K. I do not want to have to sell, but how do I negotiate a new mortgage with 79K equity, no joint ownership and modest salary - I have paid the mortgage in full myself from the start but without the joint ownership, a 50 year old my single mother with young child wont have the lenders rushing to me with offers – I do not have any other loans outstanding.

MortgageMamma

Whoa slow down

can you write that again but in 4 sections

1. personal circumstances
2. income - all of it
3 outgoings e.g. monthly cost of credit commitments
4. explain the 33k to repay bit

I will try and help you

herbiesjp

Am I right in my understanding:

You have a £33k loan (possibly secured loan) that you wish to add to the mortgage of £108k

This will mean a re-mortgage of £141k
Property value is £210k, so the loan to value is 67% (with £69k equity)

Your age is fine

Who is your current lender, and what mortgage term do you have left?

Your income is the key here to see whether or not you will be able to combine the borrowing together (assuming I have understood the above correctly)

Can you give a breakdown of all your income? Basic salary, benefits, tax credits, maintenance etc?