Mortgage, DMP, buy new house

jwpate

Hi,

I am currently on a DMP and have been for 3 years remaining balance is £17500. I also have a mortgage which has never been in arrears or defaults.

Due to an expanding family we are looking to move but I know that this is going to be difficult because of the DMP.

If I were to buy a new house would my current mortgage be transferable if the mortgage amount did not change i.e. if I bought a house for the same price as I sold my current home for?

Would it be possible to borrow any extra to move into a house with more bedrooms?

I have seen posts where people who are on DMPs are trying to get mortgages but as I currently have one does this change anything?

DCFC79

A call to the DMP provider will answer your questions.

amnblog

DCFC79 wrote: »

A call to the DMP provider will answer your questions.

The DMP provider is interested only in the DMP fees.

It is extremely difficult to arrange mortgage lending or 'port' a mortgage with an active DMP in place.

You could consult a broker now to be sure but the best route is to settle the DMP and then wait a while (a couple of years) before you consider moving.

Limana68

If you move house I am sure you would have to apply for a new mortgage even if you stay with your lender. Then there will be credit checks etc,and with you being on a DMP then I am assuming your credit rating isnt that great.
I am in a similar situation, and am unable to move due to this.

Good luck with it all

L

Thrugelmir

If you can afford to move house then speed up repayment of the DMP. A DMP should not be viewed as an interest free loan to be repaid at your leisure. Lenders will expect you to repay what you owe already before considering advancing yet more money.

Yorkie1

A move to a new property will involve the lender (whether your existing one or another one) assessing your application from scratch.

If you pass that assessment, and are staying with your present lender, then you may be able to 'port' your present interest rate to the new property, and pay a different interest rate on any top-up money borrowed.

But for all of this you have to meet the lender's current criteria to lend at all.