What happens if you can’t remortgage

cloutneerbeout · 27/09/2022 19:01

You go onto your current provider's SVR

PositiveLife · 27/09/2022 19:06

cloutneerbeout · 27/09/2022 19:01

You go onto your current provider's SVR

This!

But how long until their current deal runs out? Depending on their lender, they might be able to lock into a deal now. My current deal runs out in January but I've already signed up to a new deal for 3 years with my current lender (to start as soon as my current one finishes)

Hotandbothereds · 27/09/2022 19:09

cloutneerbeout · 27/09/2022 19:01

You go onto your current provider's SVR

This, and even if there’s no fixed rate available right now they can keep checking in and get one when it becomes available, the mortgage advisor will help.

The mortgage can’t be taken away from them if that’s what they’re worrying about.

TooMuchToDoTooLittleInclination · 27/09/2022 20:13

Dodie66 · 27/09/2022 18:58

My daughter and her partner have a fixed term mortgage which runs out shortly. They have an appointment to see a mortgage advisor in a couple of weeks. This was planned a few weeks ago. Now they are worried that they won’t be able to get another mortgage because of what’s happening with the mortgage companies, what will happen. I bet there are a lot of people in the same boat

@Dodie66

i was going to write pretty much what the other have said, but maybe there's more to this than it appears? Have they been in an interest only mortgage that's about to end (ie they took out a 25 Yr mortgage interest only) & they've reached the end of 25 years?

or have they/you misunderstood? A mortgage is usually for a long long time, like 25 years, and oeople 'fuc'tgd rate fir a given period, usually 2/3/5/10 years, when that time us up the bank offers you other deals for the next period etc etc. some people don't fix and stay on the standard variable rate and that's all that'll happen if it's only their fixed rate ending. They can choose whether to take what's being offered or chance their luck in the SVR.

Changechangychange · 27/09/2022 21:14

TooMuchToDoTooLittleInclination · 27/09/2022 20:13

@Dodie66

i was going to write pretty much what the other have said, but maybe there's more to this than it appears? Have they been in an interest only mortgage that's about to end (ie they took out a 25 Yr mortgage interest only) & they've reached the end of 25 years?

or have they/you misunderstood? A mortgage is usually for a long long time, like 25 years, and oeople 'fuc'tgd rate fir a given period, usually 2/3/5/10 years, when that time us up the bank offers you other deals for the next period etc etc. some people don't fix and stay on the standard variable rate and that's all that'll happen if it's only their fixed rate ending. They can choose whether to take what's being offered or chance their luck in the SVR.

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I assume the issue is that they can’t afford the SVR…

KylieWasHere · 27/09/2022 22:15

I’d tell them to call their current lender tomorrow and try to switch to a new fixed rate, or I’d try to do it online this evening. No way I’d be waiting for two weeks

Original poster

Dodie66 · 27/09/2022 22:34

They had a fixed term for 2 years. Yes they don’t think they can afford a variable rate.

OP posts:

Outnumbered99 · 28/09/2022 17:35

Best bet is to speak to a broker, who will talk through the best deals available to them. If their income/affordability means no other lender will accept them, they can do what is called a "product transfer" where they stay with the same lender and go onto one of their available products. Unfortunately this means they might not get the least expensive option available but it should be better than SVR!

Original poster

Dodie66 · 28/09/2022 19:08

Thanks for your advice. They were going to see a broker but it’s a 3 week wait so they are now contacting their current lender to see what they offer

OP posts:

Overthebow · 28/09/2022 19:11

They will go onto the SVR. They should try and lock in a fix now rather than waiting for 3 weeks.

GardensandGrandDesigns · 28/09/2022 20:09

Tell them to try habito online.

jimmyhill · 28/09/2022 21:29

Dodie66 · 27/09/2022 22:34

They had a fixed term for 2 years. Yes they don’t think they can afford a variable rate.

There will be options for them. Holiday on repaying the capital, extending the term, etc. Lenders will not be wanting to repossess if they can avoid it.

TerryWoganFanGirl · 29/09/2022 09:54

We used loan.Co.uk - they were fast, responsive and got us a good deal. Very happy with them.

Jarstastic · 30/09/2022 08:43

I’d get onto the current lender about a product change.

if this isn’t possible or competitive then talk to L&C.