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Posted: Mon Sep 28, 2015 10:08 am
by Michelled0422
Hi. My fixed rate mortgage is due to expire at the end November and I was all ready to sign another 4 year one but remembered I only have 2.5 years of a 7 year IVA left to pay and if I have to release the equity of my house for the final year would incur a £2,500 penalty with my mortgage lender. Any advice on what to do would be good as I prefer a fixed rate so I know exactly what my payments will be and frightened if interest rates go up won't be able to afford IVA and mortgage
Posted: Mon Sep 28, 2015 10:30 am
by kallis3
Hi and welcome, you are highly unlikely to be able to remortgage.
How much equity do you have in the house?
Posted: Mon Sep 28, 2015 10:56 am
by Shining
Hi and welcome. I would definitely talk to your IP about your options as if you have equity and things in the market stay the same it would be impossible to remortgage anyway. Unfortunately, none of us know what is going to happen in the future. I'm assuming you would have equity to release
Posted: Mon Sep 28, 2015 4:17 pm
by Lisa Thomas
Ryan and Shaun on here are the mortgage experts - I would suggest you speak to them to start with.
Posted: Tue Sep 29, 2015 4:55 pm
by Michelled0422
font size="1" face="Verdana, Arial, Helvetica">quote:<hr height="1" noshade>Originally posted by kallis3
Hi and welcome, you are highly unlikely to be able to remortgage.
How much equity do you have in the house?
Posted: Tue Sep 29, 2015 4:57 pm
by Michelled0422
font size="1" face="Verdana, Arial, Helvetica">quote:<hr height="1" noshade>Originally posted by kallis3
Hi and welcome, you are highly unlikely to be able to remortgage.
How much equity do you have in the house?
Hi by remortgage do you mean take equity out of the house? I don't know how much equity I have as I don't know the value of my house but would prefer to pay the complete 7 years and keep whatever equity I have and then pay extra off the mortgage when my iva has finished
Posted: Tue Sep 29, 2015 5:08 pm
by Michael Peoples
It is unlikely that you could get a remortgage to a new company so the early redemption issue is moot. However discuss this with your IP first as the penalty could affect the equity calculation at the time and while this would not be deliberate on your part it would need addressed.
Posted: Wed Sep 30, 2015 7:04 pm
by kallis3
Hi and welcome, you are highly unlikely to be able to remortgage.
How much equity do you have in the house?