5-year fixed coming to an in Oct 2023

Saint84

Thanks @K_S . Is there any issues in delay?

Would Barclays be want me to start asap or not fussed?

also, how would the mortgage balance work. The mortgage I requested was the o/s balance as of today. If I delay then obviously the existing mortgage balance would be lower in 6 months time. I also added ERC fee to new mortgage. But again this would be lower in 6 months time. How will this difference be accounted for? 

K_S

Saint84 said:

Thanks @K_S . Is there any issues in delay?

Would Barclays be want me to start asap or not fussed?

also, how would the mortgage balance work. The mortgage I requested was the o/s balance as of today. If I delay then obviously the existing mortgage balance would be lower in 6 months time. I also added ERC fee to new mortgage. But again this would be lower in 6 months time. How will this difference be accounted for? 

@saint84 You need to complete on the remortgage before expiry of the offer.

If there are any surplus funds, the solicitor will pay it back to your bank account after completion.

Saint84

@K_S I was wondering how long does it take for the formal mortgage offer to come through from Barclays. 

Saint84

Hi @K_S, I have the formal mortgage offer.

how do I ensure that the solicitors don’t complete until I tell them to? I assume they need something signed from me to proceed?

I filled in a questionnaire and put in notes section (as no where else to put it)  to not complete until I contacted them. But just want to double check what is the formal process?

K_S

Saint84 said:

Hi @K_S, I have the formal mortgage offer.

how do I ensure that the solicitors don’t complete until I tell them to? I assume they need something signed from me to proceed?

I filled in a questionnaire and put in notes section (as no where else to put it)  to not complete until I contacted them. But just want to double check what is the formal process?

@saint84 The exact mechanics will differ across solicitors but I would expect there to be at least a couple of checkpoints where they get the borrower's go ahead before setting a completion date.

Saint84

Hi @k_s

Sorry for another question. As mentioned above, my fixed deal with HSBC ends in Nov 2023 whilst the. Barclays offer ends on 31-3-2023

Is there any other way I can reduce the ERC? I think it said Barclays you can’t delay any further than expiry offer? I just want to double check 

also is it too late now if I wanted to increase the mortgage term by 2-3 years to add flexibility in terms of payments amount? 

bomdabass

Saint84 said:

Hi @k_s

Sorry for another question. As mentioned above, my fixed deal with HSBC ends in Nov 2023 whilst the. Barclays offer ends on 31-3-2023

Is there any other way I can reduce the ERC? I think it said Barclays you can’t delay any further than expiry offer? I just want to double check 

also is it too late now if I wanted to increase the mortgage term by 2-3 years to add flexibility in terms of payments amount? 

Rates have gone through the roof in the last 2 weeks. They won't be much, if any, higher in Nov 2023. There would be carnage. I would wait and get a new offer in spring next year then review that closer to Nov.

K_S

Saint84 said:

Hi @k_s

Sorry for another question. As mentioned above, my fixed deal with HSBC ends in Nov 2023 whilst the. Barclays offer ends on 31-3-2023

Is there any other way I can reduce the ERC? I think it said Barclays you can’t delay any further than expiry offer? I just want to double check 

also is it too late now if I wanted to increase the mortgage term by 2-3 years to add flexibility in terms of payments amount? 

@saint85 That's right, Barclays does not have a process to extend the offer. 

You *should* be able to change the term as long as it meets criteria, just speak to your broker. Barclays is quite flexible and will consider up to 80 assuming your intended retirement age is 80 and it's plausible.

Saint84

hi @k_s

hope you are well. i am in the process of completing the Barclays offer in a few weeks but was just wondering can i beat the 3.65% (10 year offer) based on current market conditions.

do you have anything that you can suggest that would be beat that? LTV will be 60%

if anyone else has any opinions - then please do chime in.

thanks again all.

TheJP

Saint84 said:

K_S said:

@saint84 If your main worry is radically higher interest rates same time next year, you have a few more options.

- You could lock in a rate now by getting a remortgage offer (free val, free legals, any fee added to the loan) that will be valid to 6/7/9 months in the future. And then when you have a month left until expiry do the numbers again and reassess whether it might be worth paying the ERC and remortgaging or avoiding ERC and doing a product switch or remortgage.

- you could also wait to November/December and then lock in a remortgage rate with a lender that will consider 6+6 months validity allowing you to use it to remortgage in October 2023.

There are quite a few different approaches to minimising the risk, if you have a broker it's something they should be able to help with.

Hi @K_S, ah - I did not even consider that as an option. I just checked my mortage details:

- it ends in Nov 2023
- i can lock in a new deal in 4 months

i did not appreciate that you can get a re-mortgage offer up to 6-7-9 months in advance. i assume then because i have less months to expiry there is a much reduced ERC?

regarding the second option - what does 6+6 month validity means?

is it best if i speak to a broker about all of this rather than speaking to individuals banks i assume? quite new to this area, so any advice would be appreciated.

Depends who you get a re-mortgage with, if you want to stay with your existing lender then usually their offer will only last for 1 month, my lender virgin new offer would expire in March after i agreed to the deal i was eligible for.

Broker wise It depends on your circumstances, LTV, income vs outgoings etc. Sometimes its easier to do it yourself if you know you will get the best Highstreet rates based on your circumstances.