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Re Mortgage advice
demonloop
Posts: 38 Forumite
Friend has asked me about this, he knows less than me about mortgages, but I don't know the answer to this one.
He has a rental property which is on the SVR with consent to lease (his old house) and he's tired of paying 4% or thereabouts.
He has enough equity in his current property to release enough to clear the rental house, and to still be under 80% LTV, but will a mortgage co allow a re-mortgage to release equity to clear another mortgage?
If so is the best reason to give for the application 'equity release' 'debt consolidation' or something else?
He has a rental property which is on the SVR with consent to lease (his old house) and he's tired of paying 4% or thereabouts.
He has enough equity in his current property to release enough to clear the rental house, and to still be under 80% LTV, but will a mortgage co allow a re-mortgage to release equity to clear another mortgage?
If so is the best reason to give for the application 'equity release' 'debt consolidation' or something else?
0
Comments
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It can be done, although not all lenders will allow Mortgages for business purposes. A property being rented out is classed as business purposes with some lenders.
That will need to be checked before applying anyway.
How it should be put down on the application is more for the advisor to sort out. But again, it should be checked before applying.I am a Mortgage AdviserYou 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.0
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