P
Peanbee
Guest
We have an investment property loan of 520k. We were paying interest only until last year, couldn't get renewal but negotiated temporary reduced principal of 500 per month which we've been paying. Now the lender wants the full amount - 3,545 per month extra which we can't pay. We owe 120k on family home, also on interest only but about to revert to principal + interest also.
We can just about afford interest only on both properties + 500 extra per month as we are doing currentlyand want to get the lender to agree that
(a)the 500 per month goes against the family home not the investment property
and
(b) we go back to interest only on investment property.
Can we stop the lender taking the full amount for the investment property in the Direct Debit and is so are we defaulting?
Can we pay 500 principal and insist it goes against principal on our home loan?
Any advice on how to manage this appreciated as they are taking a hard line.
We can just about afford interest only on both properties + 500 extra per month as we are doing currentlyand want to get the lender to agree that
(a)the 500 per month goes against the family home not the investment property
and
(b) we go back to interest only on investment property.
Can we stop the lender taking the full amount for the investment property in the Direct Debit and is so are we defaulting?
Can we pay 500 principal and insist it goes against principal on our home loan?
Any advice on how to manage this appreciated as they are taking a hard line.