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Help to Buy Problem - Can we escape Aldemore?

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Hi
Our fixed term period has just ended with Aldemore and we hoped we would be able to remortgage with another lender. Unfortunately because we have Help to Buy no other lender will touch us. Are we trapped with Aldemore and their high interest rates forever? Can anyone advise us on how we can escape and move to a high street lender with hopefully lower rates of interest. What do we need to do? Any advice would be welcome..

Comments

  • stator
    stator Posts: 7,441 Forumite
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    You mean Help to Buy Equity Loan (ie new build)?

    What's your current LTV?
    Changing the world, one sarcastic comment at a time.
  • kingstreet
    kingstreet Posts: 39,258 Forumite
    Part of the Furniture 10,000 Posts Name Dropper Photogenic
    There are lenders who permit remortgages with the HTB loan left in situ and there are still more who will lend to repay the HTB loan, subject to status/affordability.

    An independent broker will assist.

    Don't forget you will need Target's involvement either way;-

    https://www.myfirsthome.org.uk/
    I am a mortgage broker. 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. Please do not send PMs asking for one-to-one-advice, or representation.
  • The Help to Buy Equity loan was £30k. Mortgage is £105k Total house value was £140k two years ago. At the end of the two year fixed term we spoke to Barclays but they wouldn't help because of the Help to Buy loan we had. We were forced to take on another 2 year deal with Aldemore (a rise of £200 per month!). We are desperate to sort something out before this deal runs out and the interest on the help to buy kicks in.
  • ACG
    ACG Posts: 24,575 Forumite
    Part of the Furniture 10,000 Posts Name Dropper I've helped Parliament
    I have had emails from 2 lenders in the last month or 2 offering to do mortgages for people coming to the end of their deals on HTB.

    No idea whether they would accept you or not as there is normally a reason why people go to Aldermore, but it might be worth speaking to a broker?
    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.
  • amnblog
    amnblog Posts: 12,729 Forumite
    Part of the Furniture 10,000 Posts Name Dropper Photogenic
    We are either looking at a miss communication issue, or your credit file has not cleared out sufficiently to give you wider options.

    Advice from a decent mortgage broker will identify which.
    I am a Mortgage Broker

    You should note that this site doesn't check my status as a Mortgage Broker, 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.
  • sal_III
    sal_III Posts: 1,953 Forumite
    Fifth Anniversary 1,000 Posts
    Rogan123 wrote: »
    The Help to Buy Equity loan was £30k. Mortgage is £105k Total house value was £140k two years ago. At the end of the two year fixed term we spoke to Barclays but they wouldn't help because of the Help to Buy loan we had. We were forced to take on another 2 year deal with Aldemore (a rise of £200 per month!). We are desperate to sort something out before this deal runs out and the interest on the help to buy kicks in.

    Are these the correct figures? It doesn't add up, 30k+105k=135k which leaves 5k for deposit which is lower than the minimum of 5% also unless you are in London (which I doubt judging by the price of the property) the maximum HTB equity loan for 140k property would have been 28k
  • amnblog
    amnblog Posts: 12,729 Forumite
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    The H2B EL was £28K with £7K deposit.
    I am a Mortgage Broker

    You should note that this site doesn't check my status as a Mortgage Broker, 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.
  • Thrugelmir
    Thrugelmir Posts: 89,546 Forumite
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    Rogan123 wrote: »
    The Help to Buy Equity loan was £30k. Mortgage is £105k Total house value was £140k two years ago. At the end of the two year fixed term we spoke to Barclays but they wouldn't help because of the Help to Buy loan we had. We were forced to take on another 2 year deal with Aldemore (a rise of £200 per month!). We are desperate to sort something out before this deal runs out and the interest on the help to buy kicks in.

    Can you afford to overpay the mortgage and increase the equity in the property.
  • Are you able to confirm that mainstream lenders, in principle, would take on an Aldemore customer provided their credit score is ok?
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