www.iva.co.uk

Hi everyone

My husband and I have a bit of a dilemma and we are getting more confused the more we think things over!! So looking for some impartial opinions and then I think we need to speak to an IFA.

We completed our IVA in May this year. Whilst having the IVA we maintained our mortgage but had to keep it as interest only as we couldn't afford repayment mortgage deals.

Our fixed rate is coming to an end in Dec and I phoned our mortgage company the other day to see what deals we could get (thinking that the economy is completely different now and we could get a much better deal and switch to repayment mortgage - need to start paying for the bricks!!)

The Nat west man could only offer me one deal - 5.79%. Interest only payments of £622 and repayment payments of £991. Both a heck of a lot more than we are paying now.[:0]

We have some equity in the house but not a huge amount and we have no big nest egg tucked away anywhere. We were starting to think about upsizing, (we desperately need a bigger house) but we would never get a mortgage for a bigger house in the area where we are.

So I had wondered about selling the house and moving into a bigger rented accommodation. Trying to save a bit for the next 6 years (until we have a clear credit history) and then going for a bigger house with a big deposit. Plus we would be first time buyers again and hopefully get a good deal/key worker scheme.

My husband isn't keen on the rented idea as we have pets and we would technically be paying someone else's mortgage. Plus jumping off the property ladder. (However I pointed out that we are technically just renting from the bank as we haven't paid anything towards our house)

We are lucky enough to be in a position where are key workers so are pretty much needed in every town so could relocate. However, both the NHS and police have frozen a lot of their recruitment so not a lot of opportunities out there.

Arggh! So confused and not sure what is the best thing to do. Anyone got any sensible advice.

Thanks in advance

awww ,mrs t
firstly congrats on finishing the iva wtg x !

hopefully one of the pros will be here soon to help [:)]

Thanks Flumpy Dog, we felt so elated to finish our IVA and now we actually realistically feel no better off to be honest.

I know it isn't a massively horrible situation to be in, but we just don't relish the thought of staying in the house we are in for another 6 years and still paying interest only. Confused.com

Hi firstly well done on completing your IVA, a greact achievement in itself. Did you complete early or did it run its course? Your IVA stays on your credit file for 6 years from date of acceptance.

Luluj has the details of a mortgage broker and it may be worth speaking to them - just ask and I'm sure someome will help point you in the direction of the broker not sure if they could help but you never know x

Our IVA run it's course. Think it was 6 years in total as we had a payment break while I had maternity leave.

From what I've read the IVA mortgage brokers all look for a hefty deposit (anywhere from 20% upwards which we just don't have, including any bit of equity we might have in the house)

More than happy to share broker details. !

But it is a myth that you become first time buyers again ......you don't! Only ever ftb once and none of the ftb schemes will be available - we checked it out and were told no !

I suppose I can see it in one way as you've had a mortgage in the past, but, if you've been renting and then trying to get on the mortgage ladder again, I don't see why you can't be treated as a first time buyer.

When we moved earlier this year we thought great we have had four years of renting and will therefore be first time buyers ! But no....we were explained that you can only be FTB once and that stamp duty will only be exempt on that first occasion.
Our mortgage broker also confirmed this !

I still think that is stupid!

The Goverment will stick to the letter and, to them a FTB is someone who has NEVER purchased before. However, some of the developers and mortgage lenders will treat you as a FTB if it has been a while since you last owned. Unfortunately the iVA often rules them out anyway !!!

It's never going to apply to me thankfully but I do think that if you are starting again from the bottom then you should be able to be a first time buyer.

Thank you for opinions. To be honest we are still no further forward as to what is best for us to do.

Think we are going to find an IFA and have a chat with them and see what they have to say. [:)]