Mortgage Advisor Advice required

lazer-zxr

Hello,
I've posted an in depth analysis of my finances in the 'debt free wannabe' forum: https://forums.moneysavingexpert.com/discussion/5245542

It has been advised that I look to remortgage.

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Current situation:

My valuation of home: £185k
Mortgage required £154k
84% LTV
Capital repayment
Term : 20yrs

My income is £52k for this year, with guaranteed rise to £58k next year.

My wifes income is £9350

We have minimal child benefit income, and solar panel income of around £1000 per anum.

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Debt:

Our household debt outgoings are:
Loans:
£6996 outstanding on solar panel loan - £168 / mnth
£13248 outstanding unsecured loan - £208/ month

Credit Cards (2)
One we pay off in full each month
The other has a balance of £4594, and will be cleared by christmas, though with a bit of juggling, could be cleared immediately, as I have:

Savings:
£2100 New car fund
£1900 For annual spends

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The outstanding balance on our NRAM mortgage is £170k (147k mortgage + 23k sec loan). The difference between the £154k mortgage required, and the £170k outstanding will be covered by a short term 0% loan from friends / family for £16k, which I will then clear with an unsecured personal loan.



Mortgage plan:

Remortgage:the £153k away from NRAM, at a more favourable rate. LTV 84%
Decouple the £16k loan and payback over 5 years at something close to 3.6%. I'd love to get this debt off NRAMs killer rate, and some of it moved onto an unsecured to be gone in 5 years.

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Summary:
Current 170k @ 4.54% 24yrs

Proposed
£153k @ 2.1% ish 20yrs
£16k @3.6% unsec 5 yrs

I really hope this is possible.

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I'm not sure how good a mortgage I'll get considering debts, and gambling transactions even through they're used for zero risk matched betting ... I'm very risk averse, and 84% LTV.

thanks in advance for your perusal.

libf

Best bet is to see a broker.

Thrugelmir

lazer-zxr wrote: »

Decouple the £16k loan and payback over 5 years at something close to 3.6%.

Who is going to lend to you at that level of interest rate? Given your recent credit history.

amnblog

Think carefully before securing extra debt against your home.

lazer-zxr

Maybe I'm missing something.... But my credit history is 100% clean .... And I had an excellent rating when I checked. My bank "first direct" are advertising 3.6%, as are a few other lenders.

This is an effort to reduce the secured loan against the property. Currently 170k secured. Planned to reduce to 154k secured.

lazer-zxr

Thrugelmir wrote: »

Who is going to lend to you at that level of interest rate? Given your recent credit history.

I used the post quoted above to motivate me, and ..... 11 months of hard work , and ... tadah!!!! .... I have remortgaged.

Secured:
Mortgage £153k @2.24% 2yr tracker repayment with Nationwide (15yrs) with unlimited overpayments, fee free, free legal and £250 cashback (I saved up the £16k required to clear the NRAM linked loan instead of lending it).

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Unsecured:£20k (down from £25k)
and a credit card we pay off in full each month

New asset : £12k car (no finance)


Another 2 years and I should clear the unsecured debt, then 4 years for MFW .... maybe.

Take that financial mess, I'm sorting you out.

csgohan4

lazer-zxr wrote: »

I used the post quoted above to motivate me, and ..... 11 months of hard work , and ... tadah!!!! .... I have remortgaged.

Secured:
Mortgage £153k @2.24% 2yr tracker repayment with Nationwide (15yrs) with unlimited overpayments, fee free, free legal and £250 cashback (I saved up the £16k required to clear the NRAM linked loan instead of lending it).

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Unsecured:£20k (down from £25k)
and a credit card we pay off in full each month

New asset : £12k car (no finance)


Another 2 years and I should clear the unsecured debt, then 4 years for MFW .... maybe.

Take that financial mess, I'm sorting you out.

well done, it can be done for you and future readers

dimbo61

Yes well done.
Now keep up the good work you and your wife have achieved