Nationwide Mortgage

Cheryl2010

@rally8765 - thank you!

Just received the paperwork via email and the first payment looks to be double the normal monthly payment 😱. Trying to work out how we can possibly get this down a little as it will use most of the extra money we have saved! 

Think it is all to do with the interest rate charged between completion and the first payment date.

I never stay stress free for long 🤣

rally8765

Cheryl2010 said:

@rally8765 - thank you!

Just received the paperwork via email and the first payment looks to be double the normal monthly payment 😱. Trying to work out how we can possibly get this down a little as it will use most of the extra money we have saved! 

Think it is all to do with the interest rate charged between completion and the first payment date.

I never stay stress free for long 🤣

I can explain this one. The figure you see is illustrative, but it will depend on when the bank will release the fund to the solicitor. It will then accrue interests until the end of the month from that day.

i.e. Say that you complete on the 10th of June and Nationwide release the fund on that day. You will accrue interests from that day until the 30th of June. Then in July you will pay for the first time, which is essentially your July payment + the interest accrued in June. 

I say it's indicative because the Mortgage Illustration assumes you complete on a specific date to give you an idea. If you were to complete closer to the end of the month, you'd accrue less interest. 

So ideally if you can time the completion and release of funds closer to the end of the month, you will pay significantly less on your first mortgage payment.

Cheryl2010

@rally8765 - thank you!

So we are hoping to complete on 24th July - so our first mortgage payment would be approx 4 weeks later (approx 24th August) and also have the interest added from 24th July -1st August is that correct?

With Nationwide the payments seem to be the 1st of each month, would my second mortgage payment then be 1st September or 1st October?

I am trying to make sure we have enough budgeted to cover legal fees / mortgage payment and any extras

Thank you!

rally8765

Cheryl2010 said:

@rally8765 - thank you!

So we are hoping to complete on 24th July - so our first mortgage payment would be approx 4 weeks later (approx 24th August) and also have the interest added from 24th July -1st August is that correct?

With Nationwide the payments seem to be the 1st of each month, would my second mortgage payment then be 1st September or 1st October?

I am trying to make sure we have enough budgeted to cover legal fees / mortgage payment and any extras

Thank you!

Unfortunately I am not sure on this one. When I applied, my broker asked which day of the month I'd like to pay. I just left it on the first of the month. I am assuming that if you chose a different day of the month, you will pay on that day and you can ignore the illustration showing that payments are due on 1st. 

kingstreet

Cheryl2010 said:

@rally8765 - thank you!

So we are hoping to complete on 24th July - so our first mortgage payment would be approx 4 weeks later (approx 24th August) and also have the interest added from 24th July -1st August is that correct?

With Nationwide the payments seem to be the 1st of each month, would my second mortgage payment then be 1st September or 1st October?

I am trying to make sure we have enough budgeted to cover legal fees / mortgage payment and any extras

Thank you!

Nationwide collects in advance. If you complete on 24 July in your first payment you will pay one month's payment for August plus accrued interest from 24 - 31 July about two weeks after completion; followed by your first regular payment for September on your chosen payment date (ie 1st.)

Viperex

Had valuation done Yesterday hoping to getting offer text or email . Do they send offers later in evening or weekend . As you can tell its waiting just to hear offer received 

Cheryl2010

@Viperex have you had a text confirmed they agree with the valuation?

Our broker advised that they are running behind schedule re timeliness but we got our offer through mid afternoon verbally and it was sent via email about an hour later.  Not sure if they send offers evening / weekend sorry.

I will keep my fingers crossed for you

Viperex

Is it worth calling Nationwide for update ? as i have  gone trough broker ?

Viperex

Just seen on BBC that Nationwide are gonna up there rate to 0.7 https://www.bbc.co.uk/news/business-65921085

I have been waiting for valuer to come back and hopefully get offer anytime soon , will this news effect me and end up getting a new rate as to the one i had accepted with broker ? im worried 

Cheryl2010

Hi @Viperex

Your rate should have been fixed when you put your full application in, but you could always call your broker for confirmation. 

When we were waiting to hear, the rate raised quite a bit but our broker advised we had locked in the rate at the time of application and it wouldn't change unless we had to apply with a different lender