Mortgage affordability

Househelp · 3 June 2021 at 12:32PM

Hi just after some help ... we are due to remortgage in Nov. My partner has a loan for a car (bank loan) & a student loan (taken directly from pay) both due to end in Feb which will give £300 additional disposable income. We have the funds to settle them now but due a baby in summer so also not in a rush should we need the money for any reason.

My question is, given we will soon have a dependent will freeing up this additional money before our remortgage make much of a difference in the mortgage offers/rates we are given?

thanks

[Deleted User] · 3 June 2021 at 1:00PM

Not really, most lenders will ignore soon to finish credit commitments and they will ask for any expected change in circumstances. So whatever you do it is likely the dependant will get picked up and the commitments ignored

kingstreet · 3 June 2021 at 1:06PM

Remember remortgaging (moving your mortgage to a new lender while remaining in the same property) requires affordability, income and status checks. A customer retention product, rate switch or product transfer from your existing lender doesn't. A broker could look at both options for you and work out the most effective solution for your circumstances.