can I get a re mortgage/secured loan?

RCollier

My partner and i have lived in our property for 9 years. Its valued at £230,000 and our mortgage is around £150,000. Our mortgage has been up straight for over 12 months. We did reduce some of our expenditure and make lower payments and a small number of these show on our credit file. We have 2 children and only 2 bedrooms so want to move and preferably convert our loft which will cost circa £40,000. Will a lender touch us if our credit file is below average? we both work full time. We are thinking of simply selling and paying off our debts (circa £15000) and renting, however, will we ever get back on the property ladder?? help this is really worrying for us..

ethank

Why do you want to do this if you are selling, is it in the hope of achieving a larger sale price? You may not get back what you spent on the property? I would do a lot of research (such as looking for similar in local area on RM/Zoopla, speaking to EA's) before committing to this.

If you can sell at £230k - and you o/s mortgage is £150k then you will make enough profit on the sale price.

RCollier

hi, we ideally want to convert our loft but not sure we'll get finance.last resort is to sell and rent, clearing our debts and use deposit to hopefully buy somewhere in 12 months or so. we simply urgently need 3 bedrooms..

ethank

You are best speaking to a mortgage advisor but 40k would put you at around 85% LTV - Some lenders might get a bit difficult at this level I would imagine.

Have you spoken with a broker?

kingstreet

Obtain all three versions of your credit files and put them in front of a good whole market broker who will establish and explain your options.

Equifax

https://www.econsumer.equifax.co.uk/consumer/uk/order.ehtml?prod_cd=UKSCR

Experian

http://www.experian.co.uk/consumer/statutory-report.html#orderReport

CallCredit

https://www.callcredit.co.uk/stat-report-online/index.php?action=basket_add&tpl=setRegister&package=63&amount=1&mode=clear

No subscriptions or payments which allege your "credit score" as these are worthless. £2 paper files are fine. All three is essential!