Extending mortgage term?

EnterUserName

Hi all,

I've done a search but can't seem to find this specific issue.

I am a 'mortgage prisoner' in that my wife and I took out a mortgage at max joint salary when we were both working. That's now not the case, so when the fixed term ends, we simply have to select from the current lender's options.

Question: Would extending the mortgage term be subject to a full underwriting? It would be useful if we could add 5 years on the current term to reduce the monthly repayments...

Answers on a postcard!
Cheers,
Rob

maximoose94

In short, yes it would.

[Deleted User]

As far as I am aware, most lenders require any change to the material risk of the case to be re-underwritten.
So effectively any increase to balance or decrease to term.

Increase to the term doesn't necessarily increase the risk as the lender isn't asking for more of your money each month. I would expect it to be an admin task for some lenders, or a full underwrite for others .
I read someone on here recently saying their lender offered to change the mortgage term for a one off fee.
I think each lender will have their own take on it to be honest and you will have to call them and ask

EnterUserName

Thanks for the replies. I didn't realise they were open on a Saturday but I gave Santander a call and they advised that it's a one-off admin fee but subject to full underwriting and credit check. Doing it part way through a fixed term does not subject you to an ERC either.

Which is a bit of a bummer as we took the mortgage out on joint salary, and mrs is now stay at home mum. So affordability =:rotfl:

Oh well, was just a thought!