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Original poster

Mortgage Product Transfer advise

5 replies

Rojinaq18 · 03/04/2019 23:29

Hi All

I'm kind of new to mortgages and have been reading up on several topics regardind product transfer on mortages, but I can't find an answer to my following question -

I've been offered a new rate from my current lender and I wanted to know was this offer based on my outstanding balance when my current deal comes to an end or my current outstanding balance with 4 months to go. I ask this as in 4 months I will drop a LTV band from 90% to 85% when my current deal ends, so will they offer me better rates if I wait or should i take the offer now as they may give me worse rates as I will be on a standard variable rate as my off ends?

OP posts:
SunnySummerDays · 03/04/2019 23:49

The balance is probably now, so you may see it reduce again when it goes through on the 1st of the new month. I would think if it’s a product based on a loan to value they are either using valuation figures available to them or you will pay for a new one. Can you sign your papers and reserve and keep an eye on new schemes ANd swap if new one better? I would ring and ask them your questions....

SunnySummerDays · 03/04/2019 23:50

Or the new rate they are offering is maybe just the maturity rate as part of your existing Scheme?

Original poster
Rojinaq18 · 07/04/2019 02:02

Thanks for the advice. I spoke with my lender and it’s based on my current outstanding balance and the market value of my house. They advised the rates may change each month as it depends on what’s available. They also said if it’s a lower rate than what I’m on they will put me on it straightaway but if it’s higher they will wait till my current deal ends. Also all exit fees will be wavered if they switched me onto a new product early and no others fees or credit or affordability checks. So I might wait till I drop a LTV and see what they offer before deciding anything

OP posts:
BuzzPeakWankBobbly · 14/04/2019 13:51

Just to check you will be looking at other lenders before signing any new deals, right?

Don't blindly stick with the current lender.

Original poster
Rojinaq18 · 22/04/2019 19:30

I’ve asked a broker to see what deals they can possibly get but the deals they could find worked out that I would be paying more than what my current lender has quoted. The rates were slightly better but when you include the product and transfer fee it wasn’t worth moving to another lender. Currently waiting to see if I get a better rate once I drop a LTV band and obviously I will get a broker to look again at the whole market

OP posts:
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