my mortgage 3 years to go but I have a little problem?

Fergie2023

Hi everyone,
I have 3 years left on a 29 year mortgage, I am 70 in November, widow, and no endowment to pay off mortgage. (Lost it during wife's terminal illness). I won't the money to pay balance.
My mortgage is around 64.5k. My house at best in this climate valued at 75 to 80k with a work done on it.

Here is my thoughts. 
1 - I would like to keep the house! so how can I do it?
Can I have another company buy my house for me with a new mortgage (My company stopped doing mortgages, lol)
2 if so, when should I buy, now? with high interest rates, or wait to see if they come down?
3 - should I wait until the end  of mortgage to buy?
4- how much deposit would I need to re-buy my house?
5 - would mortgage company take the excess value of house as part of deposit?
6- how long can I get the mortgage over to make it affordable monthly payments
7- any other options?
8- what if I sell the house in 3 years time for 80k with 15k profit, at age 73 will I get a mortgage on another house at that age with that deposit? Again how much is that likely to cost?
9- Myself, I have 3 incomes. State pension, part-time security work, self-employed entertainer.
10- yepI am still working and in good health.

MorningcoffeeIV

I don't know under what circumstances a company would want to buy your house for you. Or do you mean equity release? You have very little equity for that to be an option.

You could see if you can remortgage elsewhere, but your options are likely to be limited as to the term, given your age.

You don't need to 'buy' your house again, as you have already bought it. You now need the funds to repay the debt.

jimjames

Fergie2023 said:

Hi everyone,
I have 3 years left on a 29 year mortgage,

You've not said but I assume this is an interest only mortgage? How do the bank think you are going to pay the mortgage off? They should have contacted you about your plans if you only have 3 years to go. Equity release schemes are only really an option when you have equity, you don't really have a lot of equity in the property. Have you borrowed more money in the past? It seems very odd that a property hasn't increased in value at all in the last 26 years when you owe £64k out of £75k house value?

MWT

Fergie2023 said:

My mortgage is around 64.5k. My house at best in this climate valued at 75 to 80k with a work done on it.

9- Myself, I have 3 incomes. State pension, part-time security work, self-employed entertainer.
10- yepI am still working and in good health.

This is not going to be and easy one as you do not have much equity in the house so Equity Release is off the table. 

A Retirement Interest Only mortgage (RIO) requires sufficient stable income to pass the affordability tests and I suspect you may have issues with that given the nature of your income, but the amount you need is not high, but unfortunately I doubt you will find a lender willing to consider 85% LTV.

Have you looked at the possibility of downsizing?

If you went down the path of selling in 3 years time and using the residual equity as a deposit, what is the smallest/cheapest property you could find in the area you want to live in?

Are you able to save at the moment so you could add to that deposit, or even pay down some of the existing mortgage over the next 3 years? (if you can do that without penalty)...

silvercar

Fergie2023 said:

Hi everyone,
I have 3 years left on a 29 year mortgage, I am 70 in November, widow, and no endowment to pay off mortgage. (Lost it during wife's terminal illness). I won't the money to pay balance.
My mortgage is around 64.5k. My house at best in this climate valued at 75 to 80k with a work done on it.

Here is my thoughts. 
1 - I would like to keep the house! so how can I do it?
Can I have another company buy my house for me with a new mortgage (My company stopped doing mortgages, lol)
2 if so, when should I buy, now? with high interest rates, or wait to see if they come down?
3 - should I wait until the end  of mortgage to buy?
4- how much deposit would I need to re-buy my house?
5 - would mortgage company take the excess value of house as part of deposit?
6- how long can I get the mortgage over to make it affordable monthly payments
7- any other options?
8- what if I sell the house in 3 years time for 80k with 15k profit, at age 73 will I get a mortgage on another house at that age with that deposit? Again how much is that likely to cost?
9- Myself, I have 3 incomes. State pension, part-time security work, self-employed entertainer.
10- yepI am still working and in good health.

See a broker. As you are still working and have a decent pension income, this should be straightforward. 

You can remortgage to another lender, they will consider a 64.5k mortgage on a value of 75-80k. As you say the difference is effectively your deposit. People do this everyday.

No need to talk of re-buying, the expression is re-mortgaging.

Your issue will be that you need to show how you will repay the mortgage at the end of the term. Any pensions due a lump sum?

Fergie2023

jimjames said:

Fergie2023 said:

Hi everyone,
I have 3 years left on a 29 year mortgage,

You've not said but I assume this is an interest only mortgage? How do the bank think you are going to pay the mortgage off? They should have contacted you about your plans if you only have 3 years to go. Equity release schemes are only really an option when you have equity, you don't really have a lot of equity in the property. Have you borrowed more money in the past? It seems very odd that a property hasn't increased in value at all in the last 26 years when you owe £64k out of £75k house value?

They have spoken to me about it, and I stated that if I did not have the means to pay at the end I would sell.. Yes it is interest only. I had a 10k top up at start to do improvements. It was a house I bought from council so had a discount but growth in this are been hammered