First visit to a mortgage adviser in 10 years ...

C

Chrisam

Registered User
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Hi ... it's probably a straightforward yes/no answer, but just in case I'm missing anything before I sit down with a UB mortgage adviser.

If I clear what I owe UB when selling my apartment - even though the apartment has lost value since I bought it in 2005 - am I still considered negative equity? Just wondering if I buy somewhere new, will my old (tracker) mortgage have any overlap with any new mortage conditions or provider, or is it like starting a new ... albeit pricier ... slate?

Some guidance would be very much appreciated!
 
When you clear UB from (their) negative equity , not only will you not be considered {negative equity} but a very very good customer.

It means that unless Ulster agree {since you have been so fair with them} to transfer some tracker type rate ,you will be starting anew on probably a standard variable rate (SVR) mortgage, and on a new ...albeit pricier... slate.

I would be very inclined to take your excellent credit rating to all the lenders when you decide to re-buy and do a fair price comparison.

No sensible lender would wish to lose you.
 
Bear in mind that the UB "mortgage advisor" is not an independent intermediary so don't expect independent advice necessarily in your own best interests.

If you pay the mortgage off then there is no negative equity as explained above.
But you have presumably made a loss on the purchase and ultimate sale of the property?
By the way - if this is an investment property and not your home then the capital loss can be written off against future capital gains.
 
ClubMan said:
Bear in mind that the UB "mortgage advisor" is not an independent intermediary so don't expect independent advice necessarily in your own best interests.

If you pay the mortgage off then there is no negative equity as explained above.
But you have presumably made a loss on the purchase and ultimate sale of the property?
By the way - if this is an investment property and not your home then the capital loss can be written off against future capital gains.
Click to expand...
 
Thanks both ....didn't think I'd be a lender's dream candidate, but there you go!

I have made a loss on the value of my home (about 30k), but since I was cautious taking out the initial mortgage ...despite them throwing money at me ..and had a decent deposit, the recent increase in value is now higher than what I owe the bank. I reckon I'll take the cautious approach this time too!

Thanks again :)
 
Well postscript to above. Met with UB, the adviser was lovely and really knew her stuff. While I don't have negative equity and would have a lot of savings, I got scuppered by the salary multiples - 3.5 times my (very average) salary wouldn't get me enough to buy a house.

She did mention a 10 year Home Mover mortgage, but only certain branches are authorised to grant this. From what I gather I am eligible. I would be fixed for 10 years on a higher tracker of 2%+ECB for the balance of my current mortgage and a pay new rate on the extra borrowed. It looks like my only option if I want to move.

Anyone hear of any downside to these (apart from losing my tracker, which will happen regardless if I move).
 
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