remortgaging on first buy scheme

ally1d

hi all, few little questions that i have if anyone can help??

our 2 year fixed rate has just come to an end on our flat bought on first buy scheme. at the time of buying we bought through bernard marcus and were "sold" ( i see this now) their lifetime mortgage advice. when i went to see our in branch advisor he told me that all lenders had now changed policy and it wasn't possible to do and equity mortgage on our flat, we had planned to take out some equity to pay off both or one of the government loans secured on it? is this true or is he as much of a crook as i think he is? our figures are:
mortgage value 148k
property value 250k
ann income 42k

many thanks in advance

kingstreet

You are planning to remortgage to repay the equity loan?

First, visit here;-

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

Next, start working on a lender, or broker. This will provide you with alternatives.

The ones with experience of shared equity are more likely to understand what you are talking about. Estate agent advisors aren't that.

Thrugelmir

Your income potentially only supports a relatively small release of equity. Perhaps your broker is referring to the general tightening of lending criteria over the past 2 years since you first took out your mortgage. In the interim overpaying your existing mortgage will do you no harm, if it's affordable.

ally1d

thanks both,

no our broker actually said that no lenders are doing equity mortgages for people on first buy scheme, but it felt as if he was just after another payday from us!

kingstreet

It won't be shared equity if you remortgage to repay the equity loan.

amnblog

ally1d wrote: »

is this true or is he as much of a crook as i think he is?

This is a bit strong is it not?