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Remortgage

m+m_2
m+m_2 Posts: 1 Newbie
in Mortgages & endowments
My current mortgage is 133k my house has been revalued at 180k. I would like to remortgage to the new valuation amount which should free up roughly 47k.


My question is how does it work when increasing your mortgage? I would like to calculate my monthly payments to see how much more I would be paying but cant quite get my head round it :-/


thanks

Comments

  • ACG
    ACG Posts: 24,725 Forumite
    Part of the Furniture 10,000 Posts Name Dropper I've helped Parliament
    You cant.

    At best you can remortgage to around 90-95%, so thats £162-173k.

    If you stick with your current lender, you would either borrow the additional amount at a rate available now and your existing amount at the current rate or you may be able to put it all on a new rate.

    If you go to a new lender it would usually all go on the same rate.

    Have a look for the bbc mortgage calculator. Its basic and will not be 100% accurate but will give you a good idea of what the repayments will be. Alternatively you can ask the lender for an illustration.
    I am a Mortgage Adviser
    You should note that this site doesn't check my status as a mortgage adviser, so you need to take my word for it. This signature is here as I follow MSE's Mortgage Adviser Code of Conduct. Any posts on here are for information and discussion purposes only and shouldn't be seen as financial advice.
  • csgohan4
    csgohan4 Posts: 10,600 Forumite
    Ninth Anniversary 10,000 Posts Name Dropper Photogenic
    What if a house you bought for 200k, 5 years down the line this comes up for re-mortgage as your deal is ending.


    House is worth say 220k and you have brought the mortgage down to 165k, can you remortgage at 165 or do you have to go for a higher figure based on the valuation, therefore borrowing more not by choice?
    "It is prudent when shopping for something important, not to limit yourself to Pound land/Estate Agents"

    G_M/ Bowlhead99 RIP
  • ACG
    ACG Posts: 24,725 Forumite
    Part of the Furniture 10,000 Posts Name Dropper I've helped Parliament
    You can do a product switch if you stay with the same lender. So your current mortgage is put on a new deal with no extra borrowing.

    You can remortgage £ for £4 with a new lender - no extra borrowing.

    Or you can lend more should you wish.
    I am a Mortgage Adviser
    You should note that this site doesn't check my status as a mortgage adviser, so you need to take my word for it. This signature is here as I follow MSE's Mortgage Adviser Code of Conduct. Any posts on here are for information and discussion purposes only and shouldn't be seen as financial advice.
  • csgohan4
    csgohan4 Posts: 10,600 Forumite
    Ninth Anniversary 10,000 Posts Name Dropper Photogenic
    ACG wrote: »
    You can do a product switch if you stay with the same lender. So your current mortgage is put on a new deal with no extra borrowing.

    You can remortgage £ for £4 with a new lender - no extra borrowing.

    Or you can lend more should you wish.

    Would early repayment charge be applicable changing lenders?
    "It is prudent when shopping for something important, not to limit yourself to Pound land/Estate Agents"

    G_M/ Bowlhead99 RIP
  • ACG
    ACG Posts: 24,725 Forumite
    Part of the Furniture 10,000 Posts Name Dropper I've helped Parliament
    If its a product that has early repayment charges and they are still tied in then yes.
    I am a Mortgage Adviser
    You should note that this site doesn't check my status as a mortgage adviser, so you need to take my word for it. This signature is here as I follow MSE's Mortgage Adviser Code of Conduct. Any posts on here are for information and discussion purposes only and shouldn't be seen as financial advice.
  • csgohan4
    csgohan4 Posts: 10,600 Forumite
    Ninth Anniversary 10,000 Posts Name Dropper Photogenic
    Say the special discount interest period finished after 2 years, and you wanted to move after this period, will EPC still apply?
    "It is prudent when shopping for something important, not to limit yourself to Pound land/Estate Agents"

    G_M/ Bowlhead99 RIP
  • Contemptuous
    Contemptuous Posts: 516 Forumite
    csgohan4 wrote: »
    Say the special discount interest period finished after 2 years, and you wanted to move after this period, will EPC still apply?

    Unlikely, but ask your particular lender.
    Slummy mummy!
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