www.iva.co.uk

I was reading in the recent press that the banks are tightening their belts and becoming more selective in allocating mortgages, what effect will this have on applying for a 4th year equity release mortgage [?][?][?]

I will happily stand corrected by the many mortgage experts who post on this forum but my feelings are that although the sub-prime market has been severly rocked by the credit crunch, more often than not an acceptable mortgage (up to 85% LTV) can often be sourced to fund the final payment in an IVA.

Just to concur with the previous post, there are in fact deals out there at present that will lend at 85% loan to value for those who are in a current IVA. There are other factors that would come into i.e. you would have had to have conducted your IVA satisfactorily, affordability etc etc. The rate would reflect your own particular set of circumstances.Tony

I agree entirely with Tony's post.

The two most important things that anyone in an IVA and facing a future remortgage can do to improve their chances are:

1 - Make sure all mortgage payments are on-time every month (it will be checked by the lender).

2 - Make sure all IVA payments are on-time every month (the lender will confirm this with the IP).

There are obviously other factors at work that will affect rates and availability but the above is hugely important.