Is it possible to switch to interest only mortgage?

NOVAMET21

Hello
Is it possible to switch from repayment to interest only whilst in the fixed term?
Will the lender allow this if in financial difficulty on your primary home? Also do they offer mortgage payment holiday?

mortgagetakingages

Wouldn't it be better to call and discuss with them? We can only guess.

MovingForwards

Possibly, it depends on the lender and your full financial circumstances.

Possibly, it depends on your lender and what do you mean by primary home? Do you have more than one property?

Possibly, it depends on your lender and your full financial circumstances. 

Lenders have been offering payment holidays of up to 3 months at a time due to the current climate. Have a look on their website, under the Covid section and you will see what help they can offer you.

You've given no information for anyone to go on, so only generic replies can be provided.

ANMOLAG said:

Hello
Is it possible to switch from repayment to interest only whilst in the fixed term?
Will the lender allow this if in financial difficulty on your primary home? Also do they offer mortgage payment holiday?

NOVAMET21

mortgagetakingages said:

Wouldn't it be better to call and discuss with them? We can only guess.

 I was just wondering if it is possible really? I'm not in financial difficulty but if I'm in the future then what are the options. Hence the question.

mortgagetakingages

Its 100% possible but its impossible to say if its probable

dimbo61

Just for future information the 2 most important things in life are Food on the table and a roof over your head unless you like going hungry  and don't mind sleep on the streets.
So unless you posted this from your smartphone I take it you own a property Your Home.
Do everything possible to keep it !
Live the MSE way of life 

Mickey666

mortgagetakingages said:

Its 100% possible but its impossible to say if its probable

Exactly.  But there are too many variables to know for sure.

I know it's 100% possible because I once did exactly that.  Not because I was in financial trouble but because I'd bought another house before selling mine and needed some money in the short term.  Because I was only borrowing about 30% of the house value and I could demonstrate that that I was intending to sell it fairly soon, which was my 'vehicle' for the capital repayment, it was very easy to arrange.  But times have changed, rules have changed and deals have changed so who knows if that would be acceptable today.  All you can do is ask around for your specific circumstances, maybe through a broker.

MovingForwards

OP I would suggest you save up an emergency fund from your income to cover outgoings if anything happened.

Check the value of all your assets eg the buy to let, any savings, investments and see how long you need to cash anything in.

Then, if anything happens, start cashing things in, look to downsize, get a job any job and keep your head above water.

Thrugelmir

ANMOLAG said:

mortgagetakingages said:

Wouldn't it be better to call and discuss with them? We can only guess.

 I was just wondering if it is possible really? I'm not in financial difficulty but if I'm in the future then what are the options. Hence the question.

If you aren't in financial difficulty then a switch to interest only is somewhat unlikely. Available products are somewhat limited.