Mortgages during an iva

markmark1985

Hello

Would anyone be able to shed some light on obtaining a mortgage during an iva ie the pros and cons of it etc? I've heard you can still get one but can be at a cost like higher interest rates and all that?

Many thanks

UpToMyNeckInIt

As I understand things at the moment, it is nigh-on impossible to remortgage whilst in an IVA. BUT with the ever-improving housing market, it follows that banks will start to relax their criteria over the years.

There is one remortgage product available at LIBOR rate + 8% for those in an IVA. So yes, the rates are WAY higher. Have a look:

http://www.magellanhomeloans.co.uk/media/6336/Magellan%20Homeloans%20Product%20Guide%20August%202013.pdf

I am not a financial advisor but this seems to say at least 65% LTV and it is a remortgage product available to those in IVAs. There will of course be more products available once the market frees up over the next few years.