re mortgaging

  • Thread starter The President
  • Start date
T

The President

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I am looking at possibly re mortgaging my PPR, both for equity release purposes, and for better rate... I also have an investment property, with a different lender, and wonder
a) how long remortgage takes
b) would it be better to remortgage both properties, so realesing equity in both, or even to keep my LTV overall lower?
c) Ia m looking a doing up a derilict property I own( no mortgage) witht the equity I release and a new moprtage on it- would I be better to join them all together, again to keep LTV lower?
 
Hi The President,
Your answers as far as I see it:
a) no longer than 3 weeks
b) I would recommend remortgageing both with one lender - you will get a sharper price, and will have more room to get further equity releases if you buy again.
c) Tie this property in with the one loan - again no hassles with the equity release
Munsterdude
 
re mortgage

cheers for that Munsterdude.. music to my ears.
 
Re: re mortgage

A couple of points;

The remortgage will only take three weeks if the lender uses First American's title insurance (most do) - if your solicitor has to wait on the title documents it'll be more like 6 weeks (assuming there are no holds up with life cover, etc).

No problem with using one lender but do not let them "cross charge" the houses as this could cause your home to be at risk if anything goes wrong with the investment mortgage and when you come to sell one of them it's a bit of a pain to unbundle them.

Sarah

www.rea.ie
 
Re: re mortgage

You might want to think about gearing up as much as you can on the Investment property as you can offset the interest against any rental income.

Just a thought, might not be an option but worth looking into.
 
mortgage

unfortunately, the money can only be offset if it was to be used to refurbish the investment property or buy it in the first place.
 
Re: mortgage

Sorry i assumed the equity was been used to refurbish the cottage and use it as an Investment property.
 
re mortgage

thanks for those excellent points...to clarify, the equity released would be used to do up the derelict house, which will then become my PPR.. my current PPR will then become another investment prop.
 
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