Remortgage advice

Adam22

Hi

I've been flicking through various threads on this site and i've learnt new things already!

This is my 1st post as im looking for a little advice. Me and my partner took out a 95% mortgage through Halifax just under 2 years ago. It was a repayment and fixed at 5.5%. The 2 year runs out this december. We both have overdrafts which im hoping to clear before then and we currently have 2 unsecured personal loans which we took out for the refurnishing of the house. My question is - Would Halifax consider building my loans into the new mortgage deal? And would having personal loans go against you when getting a new deal? All payments have been made on time.

Sorry if this has been asked before.

Thanks

ADAM

Gloster_Advise

Adam,

Mainly depends on the value of your home. If it was 95% 2 years ago what is the approx LTV at this stage?

Many factors such as income would need to be disclosed to determine affordability (what you plan to borrow extar based on your income) but the high LTV would warrant a much higher rate than you are currently on in todays rate market.

regards
Si

Adam22

Thanks for your reply

Incomes around £26000. We borrowed 77500 from Halifax for our house. It has been valued at 95000 recently. If possible we are looking to borrow around £10,000 to clear existing debt.

Im sorry but could you tell me what LTV means? In todays market would you know roughly how big of an increase would our mortgage be each month? Hopefully not vast amounts.

Is it worth shopping around for better deals. We bank with Natwest all the time and thats where our personal loans are from. Are they worth a shot and see if they can tie in the debt?

a few questions i know...

Cheers

Adam

Gloster_Advise

Hi Adam,

without going into too much detail, Halifax may be able to go to 95% LTV (loan to value ie what you borrow against the houses value). You will need a 95% mortgage, that bit is simple, you have until November to start panicing so see how it pans out over the summer market and rate wise.

There is another thread open at the moment on what lenders are doind 95% deals and i think natwest popped up on that.

Cheers
Si

wymondham

I thought consensus was it's not a good idea to add loans to your mortgage as you're turning unsecured (assumed here) into secured...?

Adam22

Thanks for the help, i'll see what happens over the summer :rolleyes:

Adam

Tiddler_2

Looking on their website Halifax appear to offer further advances up to 97% of the value of the property, but charge £349 for a further advance application but only if it's proceeded with.