Fixed rate ending and possible property sale

Pingu1

Next June the fixed rate on my flat ends. My work is relocating out of London to Huntingdon on October 31st 2026, and I am unsure if I want to move with them. I will attempt to find alternative employment in London but am expecting to be unsuccessful. I'm not sure what to do about the mortgage, whether to refix or not? If I relocate, I might not be able to find a suitable property in my price range. I am limited by not driving, after suffering a severe stroke a few years ago. I might have to revert back to renting. My mortgage provider is Santander. ERCs on their current mortgages seem to be around 2%, and I have £80K left on the mortgage. Is there any way I can avoid being on a SVR? Their Trackers both have a £999 product fee.

saajan_12

Pingu1 said:

Next June the fixed rate on my flat ends. My work is relocating out of London to Huntingdon on October 31st 2026, and I am unsure if I want to move with them. I will attempt to find alternative employment in London but am expecting to be unsuccessful. I'm not sure what to do about the mortgage, whether to refix or not? If I relocate, I might not be able to find a suitable property in my price range. I am limited by not driving, after suffering a severe stroke a few years ago. I might have to revert back to renting. My mortgage provider is Santander. ERCs on their current mortgages seem to be around 2%, and I have £80K left on the mortgage. Is there any way I can avoid being on a SVR? Their Trackers both have a £999 product fee.

This reads as you're very worried but you do have a good lead time and it may not be a terrible position given the low mortgage balance. 
* Lead time between now and June to apply for jobs and assess how likely it is
* June - Oct is only a few months, so being on a higher rate for a short period isn't the end of the world
* Why do you think you wouldn't be able to find a property given the large equity you have and relative prices between London and Huntingdon?
* The company may provide some relocation support to find accommodation etc? 

Pingu1

I am very anxious about the whole thing. I don't want to relocate as it means moving away from friends and family. I have been lucky living in London in that I can get around by public transport easily. So the stroke hasn't affected my independance, whereas moving to Huntingdon I would be limited to Huntingdon, St Ives or St Neots. There is one bus to my work location so I would need to be within walking distance of the route. Work would pay for the legal and estate agent fees.

Jemma01

Pingu1 said:

I am very anxious about the whole thing. I don't want to relocate as it means moving away from friends and family. I have been lucky living in London in that I can get around by public transport easily. So the stroke hasn't affected my independance, whereas moving to Huntingdon I would be limited to Huntingdon, St Ives or St Neots. There is one bus to my work location so I would need to be within walking distance of the route. Work would pay for the legal and estate agent fees.

I'm truly sorry you're experiencing this level of stress. I don't think I would want to move out of London if I were you, if you're looking to find a job. From now until October, you have plenty of time to search for a job. Don't feel hopeless; I'm sure you'll be fine, especially as April rolls around and budgets kick in.

Would you mind sharing how much you pay per month on your mortgage now, how much it will be if you fix on estimate, and how much if you leave it SVR? Also how much would it cost if you rent over there? And are you willing to commute temporarily until you find a job if October approaches and you still haven't found a job?

I had a thought but conscious your health condition might not be ideal for it

Pingu1

My current interest rate is 4.89%, and I have around 80,000 left on the mortgage. I pay £440 per month. If I was going to refix, I would stay with my current lender, Santander. They have 6.75% as a SVR, which is what I would be put on if I didn't refix. A 2 year fix with them is currently 3.97%. Commuting to Huntingdon from where I am (near Heathrow) would not be possible, being a 3 hour trip each way traversing across London.

Jemma01

Would you be able to negotiate working from home given your health condition and your need to be closer to your emergency contacts? I think you have a strong case if your work is office based.

I'm looking at the rental rates on Rightmove and it is crazy high compared to your monthly mortgage, we're looking at flats ranging 800-1150 and who knows how close to work. I personally wouldn't move, I'd really try with my job to be understanding (meanwhile, I'd still continue to look for a job if that's what I want to do).

Pingu1

If I don't relocate my work considers me to have resigned without pension. I work for the Civil Service and they have said no permanent homeworking. I will attempt to gain a mobility waiver in January, but the department has a recruitment freeze at the moment (so no jobs to match me too).

Jemma01

Pingu1 said:

If I don't relocate my work considers me to have resigned without pension. I work for the Civil Service and they have said no permanent homeworking. I will attempt to gain a mobility waiver in January, but the department has a recruitment freeze at the moment (so no jobs to match me too).

Hmmm I suggest you ask HR directly if your manager is just repeating the policy, I contract for the government, the number of slackers is ridiculous, at least you have a genuine case, I'd be shocked if you don't get an exception. 

Emmia

Jemma01 said:

Pingu1 said:

If I don't relocate my work considers me to have resigned without pension. I work for the Civil Service and they have said no permanent homeworking. I will attempt to gain a mobility waiver in January, but the department has a recruitment freeze at the moment (so no jobs to match me too).

Hmmm I suggest you ask HR directly if your manager is just repeating the policy, I contract for the government, the number of slackers is ridiculous, at least you have a genuine case, I'd be shocked if you don't get an exception. 

As a CS the no 100% homeworking policy is not unusual. The requirement officially is 60% attendance in the office.

Many areas of the CS are in a period of headcount reductions including voluntary exit and redundancy schemes, plus many of us having to reapply for our own job... No matter how good we are at it / high performing.

The effect/reality of this is that someone who isn't "seen" in the office is likely to be disadvantaged in the minds of those making decisions... 

OP if you want to stay in London, you need to start job hunting, there's no real alternative.

I suspect expensive contractors will also be eased out in some areas.

Yorkie1

OP are you registered on Civil Service Jobs? If not, that would be a good idea. 

Are you in a Union? They may be able to advise. 

Does your CS department have a staff network for people with disabilities? Again, they may be able to assist.