Remortgaging when circumstances have changed

kat44

Hi there I've posted before about this and had a helpful response but am now not sure what to do. I've taken voluntary redundancy and am now not working. I received a significant enough payout to cover the mortgage for 5 years or so. I'm looking at setting up as self employed and making a go of that and if that fails I shall look for a job after one year. My dilemma is around getting a better deal on our mortgage with our current lender. We have had the house revalued and we would be able to get 70% LTV compared to 85% as it was when we first purchased. I've gone through the online process and one of the boxes is around 'have your circumstances changed' which of course they have. I'm just wondering what my chances will be when I call them as I don't want to set hares running that we can afford the mortgage when we can, but we are looking at a £150 reduction per month in repayments if we were able to change the product. I'm not going to check any boxes that don't meet our circumstances but guess I'm just wondering whether anyone has any experience of this and whether they have been successful in changing their mortgage with their current lender. Thanks in advance.

densol_2

Exactly the same for me !! I set up self employed - this year after redundancy - I'll be making a loss this year as I've chosen to invest in a van and plant as part of AIA and will get back a load of tax paid at 40% on the redundancy payment - which will keep me going for a few years - and give me time to build my business.

Anyway - I digress - I also just changed my mortgage to a new 3 year product with Nationwide - it was "execution" only online and it asked NO questions about change of circumstances else I would have faced the same issue you face now. Was the option you chose " no advice needed - execution only " ?

kat44

Hi there thanks for your reply. Yes did online execution only and everything was fine until got to the box that says 'my circumstances haven't changed/aren't changing' and of course can't check that box so off to bank to see what they say

Thrugelmir

Best to be honest regarding your circumstances.