Mortgage advice

[Jon P 10]

Hi,

 

Just need some information about a remortgage please.

 

I need to get hold of another 5k but am not getting a loan out. I asked the bank about taking a further 5k out but they said I would need a LTV of over 80% and im under this.

 

I don't know anything about a remortgage can anyone fill me in some basics?

 

My current fixed rate finishes in 3 months so I can shop around. Going on rough estimates I have around 15% equity in my house so could I remortgage for the extra I need or does it not work like that? ( genuinely don't know)

 

Thanks

[mlfc 10]

I think you might mean an LTV (loan to value) of under 80% rather than over. The lower it is the better and the more you borrow the higher it gets and then the risk rises (in the bank's view).

 

I'd recommend a chat with an independent mortgage adviser rather than one tied to your bank as they will have access to the whole market and maybe mortgages up to 90% LTV which is probably what you need. I can recommend one. If you PM me your details I'll get him to contact you.

[GrannyGranny 10]

As above you are basically just looking for another mortgage which will mean having your house valued which, together with the amount owing can be used to work out your LTV %.

Has anything else changed? Salary, improvements to your house etc..

THis could affect how much a lender will lend to you.

 

You can do a rough estimate of the value and get the figure owed from your current lender. then go on one of the comparison sites.

This will only be a guide and as above go and see an Independent Advisor.

[Dronfielder 10]

I'm an independent advisor if you want any advice

[norm_hel 10]

Just remember, you may be charged a fee to take on a new mortgage, sometimes as much as £1000 so might make more sense taking a loan?