How much will my mortgage go up?

quasi

Hi guys,

First off just have to say what a fantastic site and forum this place is. After years of letting my finances go after browsing round this site for a few days I have become inspired to sort myself out.

Anyway my question is, I took out my first mortgage in Oct 2006. I borrowed £77,900 on a 2 year fixed rate deal at 5.09% meaning I currently pay £401.20.

When this deal runs out at end of October I am a bit worried that I am not going to be able to re-mortgage to a better deal. I have very recently started up my own business and have a few past missed credit card payments so I am guessing my credit rating is not going to be good.

If I stay on my current deal the rate goes up to the Base Mortgage Rate. What is this and how much would I have to pay each month if nothing changes from today? Am I looking at more than £500 p/mth?

Any help gratefully received!

Thanks

Cazza

Different lenders have different rates the put you on at the end of your deal - who is your mortgage with?

Treadmill

http://www.bbc.co.uk/homes/property/mortgagecalculator.shtml

Put the figures in here, it depends on your lenders SVR and how long you have left.

quasi

My mortgage is with Nationwide and is a 35 year

_Andy_

You can find out their SVR by looking on their website.

mpsavuk

You know that house prices got really silly when people started taking out 35 year mortgages.

Whatever happened to 25 year, 3.5 x income, 5% deposit deals?
Oh....they're coming back into fashion now aren't they!

Gorgeous_George

Nationwide is reported to be cutting its SVR to 6.49% from 6.74% (and its trackers by the same amount) from May. (torygraph)

Over 35 years, £401.20 will mean that you borrowed £78,599 (so there may be £699 fees added to the £77,900).

After 2 years at 5.09% the £78,599 will have fallen to £76,889.

At 6.49% (Nationwides SVR from May assuming no further BofE rate cuts), you will be repaying £471.55 for the remaining 33 years, i.e., £70.35 more than present (or £16.24 per week extra - a couple of hours overtime? or one less round of drinks?).

Good luck!

GG