mortgage query

getmore4less

Seventieschild wrote: »

Hello everyone
I am the missus.
Since the posts above,things have moved on a little.
We plan to apply for a mortgage in the next few months. All together (with savings and generosity from family) we have £15k deposit, which is about 8% of the property we would like to buy. I have a loan that finishes in 12 months. Unfortunately I have quite a large credit card debt (around 6.5K) and was thinking of getting a consolidation loan to cover the credit card debt and remaining loan. I believe I have a good credit rating.
Does anyone know if getting a loan this close to applying for a mortgage will hugely affect the chances/or the APR on the mortgage.
Thanks

72k income and 18month later a small deposit and still in debt.
what are you spending all you money on that will be checked for affordability.

Contemptuous

TerryTJ wrote: »

Even if there is another property mortgage free in my name? Could they not use this as some kind of security?

The mortgage free property is the one you're wishing to raise a mortgage on, no?
So as I said, no bank will lend almost 100% LTV.

kingstreet

TerryTJ wrote: »

Even if there is another property mortgage free in my name? Could they not use this as some kind of security?

The days of cross-charging a debt across several properties stopped when the One Account stopped accepting new business.

You could remortgage the unencumbered property to raise some money to reduce the other mortgage, but you will be limited by what the unencumbered property is used for, income and affordability.

For example, if it is let, you will find the maximum loan will be 75% of the property value if that amount is justified by the level of rental income received.

As has been suggested, starting your own thread and not hijacking someone else's would be a good idea. Include more information on you and the use to which these properties are put.