Affordability?

Dave_Ham

Halifax can be one of the more flexible lenders on income/affordability and therefore these need to be your first stop due to the tied in period.


You will require a solicitor also for your OG to be removed.


Good luck

nobodysdriving

amnblog wrote: »

Your view is presumably informed by the figures produced by your broker regarding initial costs on your mortgage.


By law lenders have to consider that you would find the mortgage 'affordable' if rates rise considerably. They make a submission to the regulator about how they will ensure this.


This means your 'pay rate' and the affordability calculator rate may be miles apart.


For example, one major Lender currently has a rate price at 1.49% but if you want it they will calculate whether you can afford it based on a rate of 6.99% - nearly 5 times higher.

sure I do understand that

I wish my rate was 1.49, it was 5.49 increasing to 6.something later

anyway I'm going to repay off at the speed of light this way and be mortgage free in half the time

tea_lover

Dave_Ham wrote: »

Halifax can be one of the more flexible lenders on income/affordability and therefore these need to be your first stop due to the tied in period.


You will require a solicitor also for your OG to be removed.


Good luck

Thanks! Got some time off next week so will speak to Halifax then. Difficult knowing where to start and what order to do things in.

tea_lover

Another thought - all the ad hoc overpayments have come from me. We OP £212 a month jointly, then I've OP'd an additional £5k ish over the last 18 months.

Can I take that into account when working out how much I'll need to buy OH out? Or have I effectively shot myself in the foot by increasing the equity, as I'll now need to pay him half of it?

Dave_Ham

With nothing formalised, he is entitled to 50% of the equity.


You can fight this and he may be ignorant of his rights, so you need to try and attack this quickly.


It may be worthwhile suggesting the bank will only advance you £x and therefore if he wants some money, he will need to accept this quickly or will have to stay on the mortgage and get no money.


Most want money upfront and closure in this sort of circumstance