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Pay off some loan or use towards equity?

Suarez · 2017-07-17 14:18:51

I am looking to move house but have a large loan. Current House £90,000 Mortgage remaining £69,000 New House £90,000 New Mortgage £67,500 My income £15,000 Partner £10,000 One dependant The only finance I have is a £19,000 loan. I have saved approx £10,000 so my main question is - would I be better using some of that…

Comments

getmore4less Posts: 46,882 Forumite

19 July 2017 at 8:48AM

Suarez wrote: »

I understand what you're saying but my question was more in terms of what would be better to get the actual mortgage. Do lenders prefer lower debts or higher deposit?

Thats a decision you make later once you have the numbers and potential rates based on the various LTV guided by the broker.

If you can get enough with both then no problem
If dropping £10k of the debt helps then no problem
the last resort is borrowing less at the lower rate.

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