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aviendha

Help..mortgage dilemma

16 posts in this topic

Hi, i was wondering if anyone has been in a similar situaion to me.and had some advice to offer. Before MMC, i was living in Edinburgh, bought a flat and all that. now i'm working in Glasgow, and planning to rent there, while holding on to my flat in Edinburgh.

So, do i need to change my mortgage, as i will now be renting out my flat, and will it cost a huge amount in tax and all taht to do so? i know some folk just rent on the quiet.but i'm too chicken to do that.

any advice will be appreciated

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Check with your mortgage company whether they do mind, first. They won't want to lose your custom, and as long as you inform them, you are fulfilling your legal obligation. If they kick up a stink, shop around on the internet sites like moneysavingsexpert. Don't let them try and foist penalties on you without checking whether you can get it cheaper elsewhere- you can use that info to bargain with your current lenders.

My guess is they will want to keep your custom and chuck some admin charge or something at you so they can use the opportunity to get more money out of you. If you say you will look for an alternative lender first, they may adjust their position.

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Check with your mortgage company whether they do mind, first. They won't want to lose your custom, and as long as you inform them, you are fulfilling your legal obligation. If they kick up a stink, shop around on the internet sites like moneysavingsexpert. Don't let them try and foist penalties on you without checking whether you can get it cheaper elsewhere- you can use that info to bargain with your current lenders.

My guess is they will want to keep your custom and chuck some admin charge or something at you so they can use the opportunity to get more money out of you. If you say you will look for an alternative lender first, they may adjust their position.

Hi Ros,

Congrats on your part 2 written result! You seem to know a lot about mortgages. Can you or anybody tell me what I need to do as my fixed term mortgage is coming to end this nov. Do i need to remortgage? or just allow the old one to turn into variable rate? whats the most cost-effective thing to do?

pls somebody helpppppp??????

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It's worth shopping around to find the best deal, especially as rates have changed a lot over the last few years. It might be worth going and speaking to an independent finacial advisor about the best options for your situation. The other option would be to look at the websites for the banks and check what deals they have on. Some will have a mortgage calculator so you can compare. The other good place for advice is the money saving expert which has all sorts of general good ideas and tips.

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moneysavingexpert.com has been recommending an independent financial adviser who martin claims to be brilliant...

do shop around as well and check financial sections of serious newspapers, then get your quote and go back to your current lender and ask for a matched price...

if they give it great , as this would be cheaper and you don't have to pay up re evaluation fees and lawyers fees and bank charges...

if however the current lender does not match the offer, I would say move out quickly and get the best rate you can elsewhere...

remember to check your circumstances as see what you want to go for...will it be fixed again or something else...?

the advice is to check well in advance (i.e. 3 months) so that you will have plenty of time to make all moves, but I can reassure you that you can do it in less time...!

GOOD LUCK..!

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And remember your home may be at risk if you do not keep up repayments on a mortgage or other loan secured on it! :lol: :lol:

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Thanks Daisee :) I wrote a big post but it seems to have disappeared- but basically I said exactly the same as Godzilla, with an additional bit about getting an independent advisor who will do it all for you and earn money on the policy he/she recommends (which is paid by the policy people, not you, so well worth it). Ours specialises in medics, so even better. He keeps tabs on when our fixed rate is due to run out, searches for a new one for us, we sign the bits of paper and he gets it all sorted for us. Genius. :) :) :)

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How do you go about finding someone to do this?

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Our guys are called Medical Money Management. I've only had dealings with one guy from the Sheffield branch, but they have branches in Birmingham, Bristol, Leeds, Exeter, Glasgow, Liverpool and Manchester as well.

Website is http://www.mmmnet.co.uk/menu_flash.htm

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I asked for a letting consent from Alliance and Leicester which cost me 125 pounds. Didn't need to change mortgages. As I had lived in the flat for 3 years I was allowed to rent it for 3 years without incurring Capital Gains Tax.

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Evan, thanks for replying. was the £125 a one off payment? I've lived here for 3+ years , so that should be the same. And lastly, did you do all this yourself or employ a `money manager'?

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a one off. No money manager, although if your bank don't offer a letting fee service and you have to remortgage I would get an independent Financial advisor. The BMA ones are reasonable

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Check though- the BMA ones aren't independent ie they are tied to certain products. Our guy used to be our BMA advisor but left cos he couldn't do deals in people's best interests. Now he is truly independent, working for MMM.

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my experience with bma financial advisors were not good.then i found a financial advisor[independent] who really got me a good mortgage deal and further insurance product.i referred him to other doctors who are also happy with his service.if you are interested let me know i can give his contact details.

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my experience with bma financial advisors were not good.then i found a financial advisor[independent] who really got me a good mortgage deal and further insurance product.i referred him to other doctors who are also happy with his service.[highlight]if you are interested let me know i can give his contact details[/highlight].

Pls janani i am interested, my fixed rate runs out in dec 07...can i have his details or u can PM the details if you dont want to make it public

cheers

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try www.moneysavingexpert.com martin lewis has suggested an independent company called ....london and something.....they do most of the process online and it is very good...go for it...!

Good luck...and start early...

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