Shared Equity Remortgage

edinburghlad

Hi,

I bought my flat in Dec 2012 for £99,999 and paid £5000 deposit and the developer gave me a shared equity loan for £15000 (15%) which I need to pay back within 10 years. Therefore I have a mortgage with Halifax for £80k or 80%LTV

On 1st Sept I can look to swap my deal with my current mortgage provider, however I am looking to understand if I need to stick with halifax as they off shared equity mortgages or if I should be looking for a deal with any provider as long as they accept 80% LTV?

PS I am in scotland, so not sure if that changes thinsg...

kingstreet

Ask Halifax about its product transfer options and you will need to look for remortgage options from lenders which will specifically accept the second charge remaining in place.

In addition, if you do remortgage, you'll have to get a deed of postponement from the second charge holder. More here;-

http://www.myfirsthome.org.uk/

moneysense123

we are in a similar scheme and have looked into it in depth. Halifax offer good rates for people already with them however a lot of banks won't entertain a remortgage to them if you are on such a scheme….or so we found!! We are with tbs and got a really god fixed rate to stay with them, halifax would offer us a mortgage but not as good as one that they could have offered us should we have been with them from the start

also with our scheme we had to pay an administration charge to move to another bank and also the new lender will want to value your home, if it has decreased in value then your LTV rate may not be as good, if you stay with the same bank its unlikely they will revalue the house.

edinburghlad

Great - Thanks for the advice, sounds like sticking with the Hailfax is the best option :-). I spoke to the product switch team who said they can change my mortgage from 01/09 :-)