Egg Tracker Mortgage Advice

feival

Just wondering if anyone can advise. My Nationwide £100K mortgage is up for renewal and I want to extend it to £200K to cover building works etc. the work will be phased over some time so I ma not sure exactly when to draw the cash down. I would like to borrow this over about 15 years (can't afford to go down but would be willing to go up a few years).

I have had a quick look and I think the Egg tracker looks perfect http://new.egg.com/visitor/0,,3_104914--View_2213,00.html.
As far as I can see the rate is a reasonable 5.75% which represent BoE base rate +0.75% for the life of the mortgage. Crucially there are two great features:

1) No set up fees apart from legal fees - I am guessing that these will be about £400 but I am not too sure.
2) I can take a mortgage of £200K (<50% LTV) and then immediately offset lets say £50K into a savings account until I need it to pay my builder.

Unless I have missed something this looks to good to be true. Can any well advise if I have missed that "something"!!!

Also can someone recommend a cheap lawyer for a bog standard mortgage renewal?

Mathsguy

If I remember correctly, egg will only loan up to 3.25 times an applicant's salary so to borrow £200k you will need to prove that your salary is £61,500 or above.

feival

I am very lucky that that will be OK. Is there any other issues to be aware of. I suppose these days that must mean that they are being exceedingly cautious with regards to whom they lend money to.