Forever Home Fund

katep23

December 2014
Mortgage £346,545.00
Mortgage free date 2044
LTV 86.64%

3rd January 2018
Mortgage £317,586.85

Total paid off capital in last month: £570.06
Total paid off capital: £29,008.15

MOS: £5,860.51

LTV: 79.40%

Amount to Mortgage Neutral - £311,726.34 (-£2,007.52)

katep23

After being given the wrong information about whether we could apply for the mortgage whilst OH is in his probation, we decided to apply for a mortgage with another provider which was via a broker.

Used a recommended broker who managed to record that our house was a 2-bed semi with 4 reception rooms instead of a 4-bed detached with 2 reception rooms. I pointed this out early in the process.

Had our valuation which consisted of 80 seconds of a bloke sat in his car in our gateway then driving off - get a call from the broker to say house is worth £100K less than we've said it is. Reason being? Brokers didn't tell mortgage company / valuers that they had given hem incorrect details and because the numpty valuer didn't get out of his car he didn't notice that it was actually one house not two. GRRR :mad:.

New valuation booked for this Friday but they now want to do an internal survey so we are having to try and finish some of the many building projects we have going on, particularly given the issues with damp the house had before the roof was replaced.

Good thing is it has given us momentum to do some decorating over Christmas and New Year - two bedrooms stripped of wallpaper, completely repainted and carpeted (at a cost of around £250 each).

Utility is nearly completed, got flooring to finish (not had any floor in there since we moved in 3 years ago!), worktop to put in, sink to plumb in and skirting to fit... okay so not quite as nearly finished as I'd like.

Working from home today so can get straight on with it when I finish work.

Good news is we had a mortgage offer at 3.99% based on the wrong valuation so presumably affordability won't be an issue if we get the valuation at the right value and get the offer at 2.59%!

katep23

Woo hoo, we got the mortgage offer :T! Now to get it in place after 1st February!

We've reduced the term by 3 years and the actual repayment will reduce by around £250, although I have agreed with OH we can actually increase the amount we pay now by another £250 so will be OPing £500 per month.

This will mean we should be paid off in 15 years, which will be 12 years early. Am hoping to reduce this further but it's a good starting point

katep23

December 2014
Mortgage £346,545.00
Mortgage free date 2044
LTV 86.64%

2nd February 2018
Mortgage £316,948.24

Total paid off capital in last month: £638.61
Total paid off capital: £29,646.76

MOS: £7,154.73

LTV: 70.43%

Amount to Mortgage Neutral - £309,621.81 (-£2,104.53)

CathT

You'll be saving so much in interest. These drive by valuations really are pointless aren't they, did you have to pay for it? We'll be looking for a new deal in about 6 months and need an accurate valuation due to our extension.

try_harder

Thats a great rate ,we are still paying 3.99% so frustrating.

katep23

CathT wrote: »

You'll be saving so much in interest. These drive by valuations really are pointless aren't they, did you have to pay for it? We'll be looking for a new deal in about 6 months and need an accurate valuation due to our extension.

Thankfully the lender covered the cost. It doesn't take much to follow up with a desktop valuation which clearly wasn't done as we are listed correctly on Zoopla :cool: Hope your valuation goes more smoothly

New mortgage will kick in next Friday, conveyancer needs to get final redemption (this will be 4th one as he forgot the ERC changes on 1st and then forgot we have an offset so the redemption needs to be done a few days before to be accurate :cool:) then we're good to go!

katep23

try_harder wrote: »

Thats a great rate ,we are still paying 3.99% so frustrating.

Hi Try harder, our current mortgage is 4.44% so I feel your pain! We bought with 10% deposit and wanted an offset and 5 year fix so it seemed like a good deal at the time.

Will be very glad to get onto 2.59%, will almost reverse the amount of capital vs interest we pay off each month.

EatingTheElephant

Fantastic news on the new mortgage. What a complete pain with the valuation, but definitely worth persevering to knock so many years off! Onwards and downwards

katep23

Woo hoo, remortgage is complete and I have had confirmation from the lender re direct debit, date etc. Need to call them up to monthly payment to include OP, will do that tomorrow.

The standard monthly payment will mean we are paying over £1,000 off the capital from day one, compared to about £500 on our old deal - happy days!

Ah hem, might accidentally have bought OH a car however, various money shuffled from EF, money transfers etc and more to do re balance transfers to shift some stooze money to longer term cards. Will fess up when I feel brave (but we do have a car to sell to offset the debt as well)!

On a completely separate and selfish note, if anyone would like to join Swagbucks and use my referral it would help greatly as there is a challenge on at the moment and referring someone is the difference between about 40p and £2.30:

http://www.swagbucks.com/refer/KPCCW