Remortgaging.

SpiderMonkey

I am currently on a Lifetime tracker rate of 2.99% with Barclays/Woolwich. I have 140k left owing, term left 23yrs, and I am looking at fixing for 5 years. LTV 77% using purchase price, 56% using value. I have done a lot of research and have found a deal with YBS that I want to go for, at 2.44%.

However I have an issue, my circumstances have changed, in fact they changed as soon my wife and I purchased our property as she was pregnant and we now have 2 beautiful children, my wife does not currently work. My salary is basic, 18,500k, am i urinating in the wind by even trying to get a deal like this? We have managed higher repayments previously (on 4.19%). I was going to call YBS to discuss but they are not open today.

Any thoughts appreciated.

ACG

You dont say how much you want to borrow but if its above £80k then i think you will struggle.

Are you sure you want to give that rate up for a 5 year fixed rate? Is it 1.49% above base? Thats not a bad rate and in 5 years assuming rates have gone up it might start to look pretty good. 0.5% a month will save you how much? By the time you have paid for the application fee etc des it still look as good?

SpiderMonkey

The borrowing amount is just shy of £140k.

The rate is 2.49% above base rate, if my understanding is correct. "The Lifetime Tracker is a variable rate mortgage. The rate is set at 2.49% plus the Barclays Bank Base Rate, which may fluctuate. The Lifetime Tracker is currently 2.99%".

I do want to fix really yes. So if I want to remortgage elsewhere they will look at my circumstances and probably say no?

ACG

Your not going to get 7x income anywhere.
Depending on what tax credits your in receipt of you that might help boost the income to a higher level with some lenders but to be honest i still think your going to struggle.

I received an email off woolwich on friday for existing customers they have a 5 year fix for existing lenders at 3.39% with no fees or a 2 year at 2.69% with no fees... the rates arnt as good but by the time you factor in the fees it may not be too far off? (I dont know the answer to that i havnt done the sums).

But to be honest i genuinely think you will struggle with any lender other than who you are already with.

amnblog

Not sure you can access those rates off of the Lifetime Tracker Rate ACG. Aren't these product switch deals normally for term rates that are ending?

Check for product options with Woolwich first SpiderMonkey.

ACG

Im not sure to be honest, i would have assumed they were for everyone coming to the end of the deal or already out of the deal - but i could be wrong.

Either way, i think the only options are to stick or switch on the product but with the same lender.

amnblog

Are we talking about the PT rates that Woolwich send out to brokers monthly (two rates listed on a single sheet)? They are for clients with products coming to the end of their rate period within two months. They are not accessible by lifetime tracker or SVR clients.

Thrugelmir

SpiderMonkey wrote: »

I do want to fix really yes. So if I want to remortgage elsewhere they will look at my circumstances and probably say no?

Is your current mortgage on an interest only basis?

SpiderMonkey

It is Repayments.

ACG

Ive actually just read the email/attachment properly...

eND OF tERM (eot) PRODUCTS ARE ONLY AVAILABLE TO EXISTING CUSTOMERS WHOSE CURRENT PRODUCT MATURES WITHIN THE NEXT 3 MONTHS.
 eot PRODUCTS ARE NOT AVAILABLE TO CUSTOMERS WHO ARE CURRENTLY ON A LIFETIME TRACKER OR sffr. tHESE CUSTOMERS CAN CHOOSE PRODUCTS FROM OUR CURRENT PRODUCT RANGE.

Ignore my previous post about rates. But it is still worth checking with woolwich on what they can offer you.