new property - larger mortgage possible?

jarvo

i have just seen a house that is a very tempting buy but i have a fixed rate mortgage for £80k and i would need to up it to £100k to purchase the new house.

my current fixed rate mortgage runs out on the 01/12/2005, i have a redemption fee if i change providers before then. (halifax @4.3% fixed 2 years)

What would me option be?

Will the halifax up the mortgage without locking me into to another 2 years or charging a large penalty.

any advice greatly welcome.

Ian_W

jarvo wrote: Will the halifax up the mortgage without locking me into to another 2 years or charging a large penalty.

Not trying to be flippant - but why don't you ask them? :rolleyes:

If their answer doesn't suit you I'm sure there are plenty of posters can give advice about other alternatives.

Scott

You may be able to "port" the rate over to the new property.

In this case, you would take the amount you currently have on a fixed rate on the same product with the same tie-in, as well as any extra you need on another product (without early redemption charges). This would allow you to move or negotiate a better deal when your deal lapses.

However, this will only work if your lender will give you more.

jarvo

sorry i understand the question sounds like i havent done anything myself, just posted here aas you can tell typed it quickly.

I tried to ring halifax yesterday but after 10mins on hold, i had to get on with my work.
i will try to get through again today, i just wondered if all of the fixed rate mortgages they offer are/were portable?
i think it may be portable, and getting an extra £20k shouldnt be problem.

and reading some of the other posts yesterday it seems like the halifax have the best deal @4.39%, but im already a customer so im unlikely to get it.

Thank you both,

Fairdo_2

Although currently looks like a long time away, I am not being flippant either, but I would not see a major problem in putting wheels in motion (if acceptable to the Vendors) as the House Buying Process can easily take up to 6 months and beyond these days, based on how chains go, so I would not have said this a=was far fetched for you to look on the open market for a new mortgage with the express condition that you do not complete on the purchase until the redemption penalty has expired.

However, looking at the bigger picture, it doesn't sound like your place is on the market yet, so first thing a vendor should be aware of is your "proceedability" and that won't be great at the moment, so to give yourself a fighting chance, you would need to be marketing your place and getting a firmed up buyer yourself.

There is nothing to stop you offering, but I would expect a rejection or deferrment at this stage.

Ian_W

Jarvo,
Did say I wasn't trying to be flippant but even on a straightforward remortgage at the end of a tie-in you should always check what your current lender will offer to keep you as a customer.
Most fixed products these days are portable - it's how much they will charge re the extra borrowing & will they want you to fix etc? Halifax have some very competitive rates at the moment [though fees are quite high] but I've seen it suggested on these threads that the best are ... FOR BRAND NEW CUSTOMERS ONLY!!
Final point, depending where you are in the selling & buying process your current tie-in may have expired [1.12.05 - only just over 3 months away] by the time you complete on the new property.

jarvo

well the house in question is currently empty and they are looking to offload it quickly, so i may be out of the equation already. so time me be a large factor and !!!!!! fairdo said ive got to sell mine first

and you are right my house isnt up for sale yet, i was just asking some advice before we got the ball rolling.
We had planned to start looking seroiusly at houses next month, so when my current mortgage deal ends we were ready to either move or remortgage are current house.

I know my first message implies that im in a great rush to buy the house today, im not its just badly written.

i was just trying to get some information before i rang halifax again, wanted to know if in theory i would be able to port my mortgage without incurring any extra fees.

Brand New Customer only syndrome is very frustrating

KTF

jarvo wrote:

I tried to ring halifax yesterday but after 10mins on hold, i had to get on with my work.

Yeah, to say their call centre is busy is an understatement. Your best bet is to try another option (1 then 1 is a lot quieter than 1 then 3) then claim ignorance and ask them to transfer you internally (which they can do).

Failing that you can go into any branch and they can pull up your details on the screen and talk you through your options.

cattie

KTF wrote:

Yeah, to say their call centre is busy is an understatement. Your best bet is to try another option (1 then 1 is a lot quieter than 1 then 3) then claim ignorance and ask them to transfer you internally (which they can do).

Failing that you can go into any branch and they can pull up your details on the screen and talk you through your options.

Unfortunately you can't just walk in & get seen at most branches, you have to make an appointment with one of their mortgage advisors & unless you have the local number of your branch, you'll still have to go through the dreaded switchboard if you want to phone for an appointment.

KTF

cattie wrote:

Unfortunately you can't just walk in & get seen at most branches, you have to make an appointment with one of their mortgage advisors & unless you have the local number of your branch, you'll still have to go through the dreaded switchboard if you want to phone for an appointment.

I wondered in to my local one at lunchtime and got ushered straight through. I did make noises along the lines that I was going to leave them (which I did anyway) so that might have helped

They have some great deals but not for existing customers! Nationwide here I come.

jarvo

i finally got through yesterday, and spent 20mins speaking to the most helpful call centre operative..ever.

my mortgage is portable

and £20k increase would be no problem,
he said i would be able to get the 4.39% but it would cost me £199 fee.

but he is sending me some more info in the post, along with a mortgage promise for £120k @4.39% fixed 2 year.

largest mortgage they would offer was £147k, which is larger than i thought.