We'd like to remind Forumites to please avoid political debate on the Forum. This is to keep it a safe and useful space for MoneySaving discussions. Threads that are - or become - political in nature may be removed in line with the Forum’s rules. Thank you for your understanding.
Interest only mortgage
chubbylady
Posts: 1 Newbie
Hi,
I currently have 10 months left on my interest only mortgage. I have managed to pay £35000 due to money inherited,and now owe £38000, I am 63 and work part time. Could anyone advise where I can go from here. Thank you
I currently have 10 months left on my interest only mortgage. I have managed to pay £35000 due to money inherited,and now owe £38000, I am 63 and work part time. Could anyone advise where I can go from here. Thank you
0
Comments
-
- Pay the £38k back (guessing this is unlikely)
- Speak to the bank about paying it back over a longer period (they may not allow this due to your age)
- Borrow the money from elsewhere (maybe not likely)
- Sell the house to settle the debt (perhaps your only option here to be honest)
1 -
chubbylady said:Hi,
I currently have 10 months left on my interest only mortgage. I have managed to pay £35000 due to money inherited,and now owe £38000, I am 63 and work part time. Could anyone advise where I can go from here. Thank youHow much would you estimate your property is worth at the moment?Is the nature of your part-time work something that you can continue doing past normal retirement age?You may have more options than just selling the property, depending on the answers ...
2 -
more info needed eg is there a pension lump sum lurking? are you going to be able to get another mortgage into retirement years? How would you feel about downsizing?1
-
How long ago did you take out this interest free mortgage? I'm surprised the bank granted it without knowing how it was going to be repaid. Maybe it was missold in which case you would have a case with the bank to convert it to a repayment mortgage (maybe some compensation as well).chubbylady said:Hi,
I currently have 10 months left on my interest only mortgage. I have managed to pay £35000 due to money inherited,and now owe £38000, I am 63 and work part time. Could anyone advise where I can go from here. Thank you
If it was sold correctly did you have a plan to pay it off at the end of the term?
Talk to a mortgage advisor.
0 -
You can get mortgages to much older than 63. Chances are a broker would be able to help you find a lender that would do a repayment mortgage to the age of 70 or even older.I'm a Forum Ambassador on the housing, mortgages, student & coronavirus Boards, money saving boards. I volunteer to help get your forum questions answered and keep the forum running smoothly. Forum Ambassadors are not moderators and don't read every post. If you spot an illegal or inappropriate post then please report it to forumteam@moneysavingexpert.com (it's not part of my role to deal with this). Any views are mine and not the official line of MoneySavingExpert.com.0
-
If you could extend the loan for another 10 years and convert to repayment you would need to find an extra £300 per month on top of the interest payment so perhaps a total of £500pmI think....0
Confirm your email address to Create Threads and Reply
Categories
- All Categories
- 347.7K Banking & Borrowing
- 251.8K Reduce Debt & Boost Income
- 452.1K Spending & Discounts
- 240K Work, Benefits & Business
- 616.1K Mortgages, Homes & Bills
- 175.3K Life & Family
- 253.3K Travel & Transport
- 1.5M Hobbies & Leisure
- 16K Discuss & Feedback
- 15.1K Coronavirus Support Boards