Hi
I am helping a friend with his remortgage and thought I would post here. Not had amortgage in a while so thought I would check in with the experts.
His details
House Value : 200K
Current lending : 98K
Monthly rate : 2.99%
Monthly payment : approx £710
Lender : Alliance & Leicester (Santander)
Term left : 14 years.
Credit history : Excellent
He has been wrote to say he is deal is coming to an end and he will be put on a lifetime tracker of base rate + 0.5%.
This ironically means he will still be on 2.99%.
He wants to borrow some more money against his mortgage, approx 30K.
Some questions :
Thanks
I am helping a friend with his remortgage and thought I would post here. Not had amortgage in a while so thought I would check in with the experts.
His details
House Value : 200K
Current lending : 98K
Monthly rate : 2.99%
Monthly payment : approx £710
Lender : Alliance & Leicester (Santander)
Term left : 14 years.
Credit history : Excellent
He has been wrote to say he is deal is coming to an end and he will be put on a lifetime tracker of base rate + 0.5%.
This ironically means he will still be on 2.99%.
He wants to borrow some more money against his mortgage, approx 30K.
Some questions :
- Is the deal on offer good?
- He has spoke to them about more borrowing and been told he can, but any additional borrowing won't be on the current deal of 2.99%, it will be more, but afterwards he can apply to have it on the 2.99% for his current borrowings. Whats that about then? Pitfalls?
- He is very risk averse and does not want to change from his current lender.
- He wants to overpay, does this really knock off years?
Thanks