Re-mortgage payment

curtis122

Looks like our current re-mortgage is falling through due to the lender last minute wanting details of our house we are moving to, to release funds, when we have not got a house we are moving to yet. We wanted the money while rates were low to go towards house in a year or more when we start looking. We were given the impression they needed to know what we needed the money for but that was it as long as it was something they lend against it would be paid to us.

Are there any lenders that will pay the money into your account and not need some form of evidence like new house details if you say you are using it towards a house or a quote from a builder if your saying you want it for improvements etc etc. 

[Deleted User]

I'm not sure i follow you - 

A remortgage is not one that applies to a new house - it applies to the house you're already living in and want to switch it to a new rate, correct term is a 'product switch'.

Getting a mortgage now for buying a place in a years time - not sure that's how lenders work.

I think you need to provide us with a lot more detail for members to be able to help you further.

SusieT

The mortgage will be secured on the property named in the mortgage contract, therefore it is not possible to get a mortgage without having a property in your name for it to be secured on. 

curtis122

We are wanting to remortgage a second home we have to give us more money to go towards a new home for us when we are in a position to move in a year or 2. We want to beat the rate rises and get the money cheaper.

Exodi

Catsacor said:

I'm not sure i follow you - 

A remortgage is not one that applies to a new house - it applies to the house you're already living in and want to switch it to a new rate, correct term is a 'product switch'.

Getting a mortgage now for buying a place in a years time - not sure that's how lenders work.

I think you need to provide us with a lot more detail for members to be able to help you further.

It wasn't just me then!

I think (though I'm still not completely clear) the OP is remortgaging their current house with additional borrowing now (while rates are low), with a plan to use the money to buy a house in the future?

And presumably they've mentioned this plan to the lender, and the lender has requested details of the new property which the OP obviously doesn't have as they don't plan on buying for a while.

To be honest OP, I think even if this was workable - I'd have thought it's better to have the money 'invested' in your property, than putting the cash in a savings account paying 2-3% and being eroded every year by inflation - even despite the lower interest rate on the mortgage.

You can't say to a lender you're using it for a house if you're not - you're putting it in you bank for at least a year, from the lenders perspective you could easily change your mind during that time.

K_S

curtis122 said:

Looks like our current re-mortgage is falling through due to the lender last minute wanting details of our house we are moving to, to release funds, when we have not got a house we are moving to yet. We wanted the money while rates were low to go towards house in a year or more when we start looking. We were given the impression they needed to know what we needed the money for but that was it as long as it was something they lend against it would be paid to us.

Are there any lenders that will pay the money into your account and not need some form of evidence like new house details if you say you are using it towards a house or a quote from a builder if your saying you want it for improvements etc etc. 

@curtis122 Looks like you're with an incompatible lender unfortunately. If you are using a broker, they should have picked this up before recommending a lender. There are lenders that are ok without the details of the onward purchase but exactly who will depend on the details. If you aren't using a broker, i may be worth speaking to one to make sure you get it right. Alternatively, if you're going direct, speak to their mortgage team beforehand and run your requirement past them.

The MSE guide here can help you find one
https://www.moneysavingexpert.com/mortgages/best-mortgages-cashback/#step3