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Taking out equity...
scheming_gypsy
Posts: 18,410 Forumite
At the moment i'm thinking about seeing if there's enough equity in the house to cover my loan and credit card to just have everything in one pot.
Before i look into it any further can you lot offer a bit of advice..
I when i moved in the house was 128k and one of the neighbours have theirs up for sale at a list price of 139.995 (houses only built last year so can't be too different)
1) i've only had the mortgage since December last year, would that make any difference?
2) i'm on a shared ownership scheme so only own 60% of the property at the minute. Would that mean i could only up my mortgage by 60% of the new value? ie 60% of the 12 grand
The loan is 6.4% and the credit cards are on 0% at the minute. I know that it'd be a bit stupid to add them to a mortgage when the rates are quite low and the mortgage is for a lot longer but i want to be in the position where i can either decrease my term when i can re-mortgage or buy more of the house (can remortgage december next year). So i want to free up cash rather than pump out an extra £300 a month on debt repayments.
sure there were some other questions but i'll remember them sometime shortly. cheers
Before i look into it any further can you lot offer a bit of advice..
I when i moved in the house was 128k and one of the neighbours have theirs up for sale at a list price of 139.995 (houses only built last year so can't be too different)
1) i've only had the mortgage since December last year, would that make any difference?
2) i'm on a shared ownership scheme so only own 60% of the property at the minute. Would that mean i could only up my mortgage by 60% of the new value? ie 60% of the 12 grand
The loan is 6.4% and the credit cards are on 0% at the minute. I know that it'd be a bit stupid to add them to a mortgage when the rates are quite low and the mortgage is for a lot longer but i want to be in the position where i can either decrease my term when i can re-mortgage or buy more of the house (can remortgage december next year). So i want to free up cash rather than pump out an extra £300 a month on debt repayments.
sure there were some other questions but i'll remember them sometime shortly. cheers
0
Comments
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Sorry, sounds like you have no equity in your property.
Asking price often bears little relation to sale price.
Check on nethouseprices to see how much a property has actually gone for.
If you wish to put borrowings onto your mortgage you can, but you're changing from a short term unsecured to a long term secured, which is bloody insane to monesavers like me.
3 yrs @ 6.9 = around 21%
25 years @ 5.5 = you do the math!!0 -
aye it's not something i 'want' to do but just looked at ways to clear up cash so i can shorten the term / buy more when i remortgage.0
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To be honest, exchanging unsecured debt for secured debt isn't a route I'd take.
BT the credit cards when the 0% period is up, and just pay the loan as is. It's not going to save you much money to put that onto the mortgage, as you'll have to pay the fees for a further advance.Scott0
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