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Shared ownership, remortgaging/staircasing.
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PurpleStripedSocks
Posts: 20 Forumite
Hello!
I posted a query about staircasing a while ago but cannot find the thread. I will bookmark this time!!
So we have decided to staircase to as much as we can afford with the view to going to 100% in the next few years as we probably are just out of reach of 100% right now.
Our mortgage fixed rate comes to an end at the end of March. We won't be able to complete a staircasing in time and I want to lock in a new mortgage deal for 50% of the property that we already own. Sooner rather than later before rates rise.
We have some decent savings. If we put say £10k savings towards our existing mortgage to lower our LTV would this negatively impact us when we come to staircase? Ie is it better to have that cash available for the staircase? We'd have enough savings left to cover fees, stamp duty etc. I just mean in terms of a cash deposit...
or should we remortgage using our existing ltv? I don't understand how they decide the rate for the mortgage on the second portion in terms of an extra cash deposit vs equity.
We called Nationwide to ask this but they didn't understand the question...or rather we didn't ask it properly! Hope that makes sense.
Many thanks!
Current property value : approx £240k
Current share: 50%
Mortgage remaining: £85,800 , 28yrs.
Savings : 27k (increased as mum kindly offered some help)
Husband salary: £37500
I have earnings but am newly self employed so cannot prove, mortgage is in husband's name only.
I posted a query about staircasing a while ago but cannot find the thread. I will bookmark this time!!
So we have decided to staircase to as much as we can afford with the view to going to 100% in the next few years as we probably are just out of reach of 100% right now.
Our mortgage fixed rate comes to an end at the end of March. We won't be able to complete a staircasing in time and I want to lock in a new mortgage deal for 50% of the property that we already own. Sooner rather than later before rates rise.
We have some decent savings. If we put say £10k savings towards our existing mortgage to lower our LTV would this negatively impact us when we come to staircase? Ie is it better to have that cash available for the staircase? We'd have enough savings left to cover fees, stamp duty etc. I just mean in terms of a cash deposit...
or should we remortgage using our existing ltv? I don't understand how they decide the rate for the mortgage on the second portion in terms of an extra cash deposit vs equity.
We called Nationwide to ask this but they didn't understand the question...or rather we didn't ask it properly! Hope that makes sense.
Many thanks!
Current property value : approx £240k
Current share: 50%
Mortgage remaining: £85,800 , 28yrs.
Savings : 27k (increased as mum kindly offered some help)
Husband salary: £37500
I have earnings but am newly self employed so cannot prove, mortgage is in husband's name only.
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