Redeeming help to buy loan

psychopathbabble

Good afternoon! 

We are currently in the middle of refixing our mortgage rate (ends on 30.09) and additionally borrowing funds to redeem our help to buy loan (we have had the survey, and target have agreed to the value, interest isn’t payable until Feb 2020). Our broker is currently on holiday but will be submitting the applications once she returns. 

however, reading today that we are in a technical recession, we now aren’t sure whether to hold off or continue with the redemption.

Is anyone else in a similar situation? 

Seashell517

I think if anything mortgages rates have been slightly rising due to the increased risk of people losing their jobs, so I don't think waiting is likely to get you a better rate. You'd also potentially have to pay for the valuation again as their time limited.

psychopathbabble

Paying for the valuation is fine. It’s more if house prices will drop, should we wait to redeem the help to buy so its a lesser amount, as it’s 20% of the current market value.  

Thrugelmir

How does being in a "technical" recession impact you personally?   Life continues for many as normal, i.e. public sector workers. While for others times are indeed financially desperate. 

Seashell517

psychopathbabble said:

Paying for the valuation is fine. It’s more if house prices will drop, should we wait to redeem the help to buy so its a lesser amount, as it’s 20% of the current market value.  

How long are you willing to wait? Everything I've read suggests that any fall in prices won't be until the second half of next year (*crystal ball is not always accurate*)...