Northern Rock End of Mortgaged Deal (Merged Threads)

zipman23

I'm with NRAM and have seen a slightly bigger house (3bed) in a nice enough area and ideal for both me and my partner as far as work is concerned. It's been repossessed so is going for a song (in my opinion)! I know repossessed houses take alot quicker to go through with banks wanting their money back sooner so am I right in thinking that if I sold my house (£115k-ish) and ended up getting this one (£100k), I wouldn't need a new mortgage and could just carry on as I am except paying less or would we pay one mortgage off and apply for another one? We owe about 95% at the moment on a together mortgage so it was 90% mortgage/10% unsecured loan!

semanticist

zipman23 wrote: »

am I right in thinking that if I sold my house (£115k-ish) and ended up getting this one (£100k), I wouldn't need a new mortgage and could just carry on as I am except paying less or would we pay one mortgage off and apply for another one? We owe about 95% at the moment on a together mortgage so it was 90% mortgage/10% unsecured loan!

You'll probably - but not certainly - be able to 'port' your mortgage from one property to another. Give NRAM a call and see is they'll approve moving the mortgage.

niccatw

MarkyMarkD wrote: »

As the rate on the secured and unsecured portions is the same, I can't understand why you were so insistent about the overpayments being allocated to the unsecured portion, niccatw.

In fact, given that you could eventually remortgage the secured part whilst leaving the unsecured part with NRAM, wouldn't it make more sense for the unsecured part to be as large as possible in case you don't have enough equity to clear the secured part? If you do have surplus equity, you would be able to overpay the unsecured part at the point of remortgaging in any case.

goaten2000 wrote: »

It depends on what way you look at it, but it's worth bearing in mind that should you move just the secured part, the interest rate on the unsecured part goes up by 5% so the smaller it is the better.

On ther other hand, if at some point your in a position to be able to merge the 2 into a new mortgage, then as you say it doesn't matter.

Hadn't thought of it that way MarkyMark. I was thinking along goaten's lines. There's not enough equity to move it anywhere just now, but the unsecured part is small (relatively speaking) and doing it this way means it'll be paid off by the end of the year so I'd hopefully be in a better position for moving without having to worry about an extra 5% on the bit left with NRAM.

zipman23

semanticist wrote: »

You'll probably - but not certainly - be able to 'port' your mortgage from one property to another. Give NRAM a call and see is they'll approve moving the mortgage.

Cheers for the help. I didn't bother ringing NRAM because when we viewed the house we saw it as a sideways step rather than one forward so we're staying put!

jonny_power

Slightly different question, but we're looking at applying for an NR mortgage (90% LTV). Can we find out their solicitors panel online or should I ring them. We've already been in touch with solicitors but then our broker said we need to check that they're on NR's approved panel, which i didn't realise.

monkeygirl5

Have Northern Rock mortgage fixed, we are tied in for another 4yrs, recieved a phone call from LLoyds bank saying they can switch our mortgage as NR our wavering the early redemption charge!! Has anyone heard about this, I know when the goverment took over NR for a short period you could move your mortgage with out erc. Or is this just a scam from lloyds bank.

Thrugelmir

monkeygirl5 wrote: »

Have Northern Rock mortgage fixed, we are tied in for another 4yrs, recieved a phone call from LLoyds bank saying they can switch our mortgage as NR our wavering the early redemption charge!! Has anyone heard about this, I know when the goverment took over NR for a short period you could move your mortgage with out erc. Or is this just a scam from lloyds bank.

Is your mortgage now with NRAM?

picardygirl

monkeygirl5 wrote: »

Have Northern Rock mortgage fixed, we are tied in for another 4yrs, recieved a phone call from LLoyds bank saying they can switch our mortgage as NR our wavering the early redemption charge!! Has anyone heard about this, I know when the goverment took over NR for a short period you could move your mortgage with out erc. Or is this just a scam from lloyds bank.

If your mortgage is with Northern Rock plc then you would have to pay ERC, but if it is with Northern Rock Asset Management (NRAM) you do not have to pay Early Repayment Charge, they stopped charging the fee as of 7 March 2011.

angieplus4

Hi was on th phone 2day asking about interest only mortgage when i was tod if i was to switch there is no penalty charge at the mo only the 250 quid charge. Let me tell the story i have 142000 of mortgage currently repayment at 829 per month got debt problem and trying to find cost cutting was told about this deal and that i can change to interest only for a 75 quid charge but only for 12 months . Would not be able to switch mortgage now as my partner only 1 working. My fixed deal would have run out in september though this sounded good for those thinking about leaving and worried about penalty repayment charges so thought i would share...... What do u think about the interest only for 12 months would help me alot and we only have to fill out an application not a new mortgage a;)

gareth19822002

Hi,

Just thought I would add a post regarding NRAM. I took out a mortgage with Northern Rock around 5 years ago and came off that a couple of months back. It's fine for now as my mortgage has dropped but I try to carry on paying the same as I did for 5 years. Problem is like a lot of people I took out a 100% mortgage. Quite possibly the worst thing I could have done but at the time that was what I needed to do.

I have a family and we would like to move to a bigger property but because of negative equity etc I can't.

Now there are a lot of people bad mouthing NRAM/Northern Rock but I will be honest and so far I have found them very helpful. I have a couple of things that they have said I could do, 1 would be to let the property out. Or Porting my mortgage which I am currently waiting for a decision on. If I can get neither I'm pretty much stuck where I am! ha!

But to be honest I chose to take the 100% mortgage and the risk that comes with it. So it's my fault. Nobody elses!

Even this morning when I was talking to someone and got cut off he rang me back!

If I don't get it not quite sure what to do but hey that's life!!