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is this a crazy idea- taking out P loan for part of mortgage?
branston
Posts: 74 Forumite
We are currently having to remortgage as our 2 year deal is coming to an end.
For certain reasons, we need a fast track mortgage. We were offered this with Abbey dependant on conditions etc. We met all these conditions bar one.
One of these conditions was value of house. Due to current conditions, our house was valued by the 20k less than we thought it would be.
it means they will no longer let us fastrack on the amount we need to borrow.
They will let us fastrack is we borrow 17k less (this then puts us back into the 80% they will do fastrack on) .
We really need to fastrack. My other half is self employed and they would need to see 3 years worth of accounts which he cannot do.
Are we crazy to think about trying to take out a personal loan for the 16k and then taking the fastrack on the lower ammount?
I have done the figures and we can afford the repayments.
I dont know if in these conditions we would even get the loan but are there any other pitfalls i should know about?
Our other options are go back to Abbey with reasons why we think they undervalued and see if increase value (our mortgage advisor currently doing this but it will take 5-10 days)
try a new lender- long process, interest rates now higher and who is to same same thing wont happen again and also the cost involved of other surveys etc
show abbey accounts- isnt an option- please dont ask me more about this as i am not really to sure
take out the personal loan to make up the difference.
what should i do?????
any opions/advice would be gratefully received
thank you
For certain reasons, we need a fast track mortgage. We were offered this with Abbey dependant on conditions etc. We met all these conditions bar one.
One of these conditions was value of house. Due to current conditions, our house was valued by the 20k less than we thought it would be.
it means they will no longer let us fastrack on the amount we need to borrow.
They will let us fastrack is we borrow 17k less (this then puts us back into the 80% they will do fastrack on) .
We really need to fastrack. My other half is self employed and they would need to see 3 years worth of accounts which he cannot do.
Are we crazy to think about trying to take out a personal loan for the 16k and then taking the fastrack on the lower ammount?
I have done the figures and we can afford the repayments.
I dont know if in these conditions we would even get the loan but are there any other pitfalls i should know about?
Our other options are go back to Abbey with reasons why we think they undervalued and see if increase value (our mortgage advisor currently doing this but it will take 5-10 days)
try a new lender- long process, interest rates now higher and who is to same same thing wont happen again and also the cost involved of other surveys etc
show abbey accounts- isnt an option- please dont ask me more about this as i am not really to sure
take out the personal loan to make up the difference.
what should i do?????
any opions/advice would be gratefully received
thank you
0
Comments
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If he can't provide accounts then you shouldn't have applied for a Fast-trackl product. Fasttrack is not a self-certified mortgage and the lender can ask for proof of income at any point.
Re other mortgage companies, it's likely that if one valuer is coming up with a particular property value, then other valuers will do the same.0 -
thanks for taking the time to reply,
we now realise this, but like many, are in a situation that isnt great and are just trying to sort it out best we can.0
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