Remortgage to release Equity

jamesbund

Just wondering some one can advise if the below can be possible at all.
I am in my early 30's, employed and own a 3 bed freehold house in London which is currently valued at £450k. I only have £150k worth of mortgage left to pay.

I am looking to possibly cash in £200k out of my freehold to
invest somewhere overseas.
Wondering, can any bank or Building society be willing to remortgage for 85% LTV and provide me cash for the remaining? Would there be an additional interest rate I would be charged?

I understand my Mortgage will shoot up from existing £150k to c.£380k, which I am sure, i can afford, as my household income is £110k/annum

The key thing here, I guess is also how much would the lender value my house? Would my age be an issue, as they dont tend to release cash from equity to younger borrowers, unless I am wrong?

What would be the best and cheapest way for me to access this cash please? Do I need to provide evidence of what i would be doing with my cash and how? Obviously, the last option would be sell and buy another place but it would end up expensive.

somethingcorporate

We have just applied with HSBC to pull out £35k on top of clearing the existing mortgage. This works by them satisying the mortgage with our existing bank and the paying the balance into our bank account. From the application process it looks like they are treating these two elements individually (calling one a home owner loan) but under the same T&Cs (interest rate etc). We were asked what the additional borrowing was for and we put for home improvements (which it is).


Apprecaite yours is a totally different league but you should seek the advice of an experienced broker.

jamesbund

Thank you for responding. May I ask whats your LTV ?

NurembergVillan

I recently did something similar, albeit on a lower value property. I used a broker and ended up with NatWest as I was using the equity for a second property and NatWest were willing to take on both mortgages at favourable terms.

I was only able to get a max 75% LTV on the remortgage. Not sure if that's standard or was unique to my circumstances.