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Fixed term, spreading ourselves too thin?
saltycalendar
Posts: 3 Newbie
So we have 2 and a bit years left on our 5 year fix, and are in the process of trying to move.
We've had an offer accepted for our purchase, which means porting the balance of our current mortgage, but also a top up for the difference between our current property value and the new property value.
Current lenders won't lend more than 85% on the new property, meaning the mortgage is right at the top of our affordability. The property has great potential but needs quite a bit of work, and our original plan had been to secure a 90% mortgage at the end of our fix to release some cash for the works needed without incurring an early repayment charge.
With the ways things are going at the moment, interest rates and lending criteria etc. it seems like this might get more difficult to secure - could we be stretching ourselves too far do you think?
We've had an offer accepted for our purchase, which means porting the balance of our current mortgage, but also a top up for the difference between our current property value and the new property value.
Current lenders won't lend more than 85% on the new property, meaning the mortgage is right at the top of our affordability. The property has great potential but needs quite a bit of work, and our original plan had been to secure a 90% mortgage at the end of our fix to release some cash for the works needed without incurring an early repayment charge.
With the ways things are going at the moment, interest rates and lending criteria etc. it seems like this might get more difficult to secure - could we be stretching ourselves too far do you think?
0
Comments
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Why not postpone the proposed works for a period. While you build up some equity/savings to fund the improvements.1
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