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Home move using equity for debt
Angus22
Posts: 7 Forumite
Just a bit of advice really.
We’re currently looking to move house. Seen a house where I need £261k mortgage, passed affordability with broker all ok.
We have £46k in debt over the house we’re in now, the renovations have spiralled us into this, completely naive that it wouldn’t cost much to fix!!! Anyway we plan to sell this, use the equity to clear the £46k and put down a smaller deposit.
Broker has recommended accord so far, but I’m extremely concerned they’ll see the risk of lending with the debt we have, despite the plan to clear it.
So my advice really is....is this an unrealistic plan? I understand we have a large amount of debt so risk is large
We’re currently looking to move house. Seen a house where I need £261k mortgage, passed affordability with broker all ok.
We have £46k in debt over the house we’re in now, the renovations have spiralled us into this, completely naive that it wouldn’t cost much to fix!!! Anyway we plan to sell this, use the equity to clear the £46k and put down a smaller deposit.
Broker has recommended accord so far, but I’m extremely concerned they’ll see the risk of lending with the debt we have, despite the plan to clear it.
So my advice really is....is this an unrealistic plan? I understand we have a large amount of debt so risk is large
0
Comments
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Im not a massive fan of accord although I have heard they have improved recently, but in the main clearing debt with equity when moving house is fine. Loads of people do it.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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As ACG said accord can be a pain but i have done a case with them recently and they were fine. Clearing the debt with equity is fine and should cause you no issues as long as you have passed affordabilityI 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.0 -
What do the numbers look like.0
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