Increasing mortgage amount after offer?

HomelessChump

Hello folks,

I am purchasing a property in London using the full 40% equity loan that is available with HTB London. The affordability was very tight, but HTB approved my purchase and I have received a mortgage offer. Completion is at the end of February.

I have just had an unexpected pay rise that (according to the HTB London calculator) increases the amount of the property that I can afford from 60% to 69%. The corresponding increase in the mortgage would be about £60 a month.

Can I rejig a mortgage after the offer?
If so, would this be a sensible thing to do? My thinking is that unless Brexit crashes the economy completely, the property is only going to gain value due to its location and that additional 9% of the property will never be cheaper than it is right now.

Any thoughts would be welcome.

SavingSteve

Yes you can, but the Mortgage lender will need to go through most of the application again, full affordability checks etc.

Also, you need to think about whether a ~70 help to buy will be as saleable as a 60% help to buy property, as most people use these as a stepping stone, will owning and therefore having to sell around 70% put you out of reach of buyers like your old self in the future?

Thrugelmir

To avoid unnecessary complications why not simply overpay your mortgage for a period?

On a more general note. There are plenty of other factors which could impact property prices rather than "Brexit" whatever that eventually is. I'd watch interest rates for example. Will have far more impact on peoples pockets. Than the tariff imposed on imported cars.

JPB123

SavingSteve wrote: »

Yes you can, but the Mortgage lender will need to go through most of the application again, full affordability checks etc.

Also, you need to think about whether a ~70 help to buy will be as saleable as a 60% help to buy property, as most people use these as a stepping stone, will owning and therefore having to sell around 70% put you out of reach of buyers like your old self in the future?

I think you're getting confused between Help to Buy and Shared Ownership.