Corporate mortgages: Residential mortgage advice

Debt rescheduling in times of rising interest rates
I heard that mortgage rates are projected to rise 13% in 2023 and will rise in the next year. I’m a little worried about what to do as my five year fixed rate expires in April next year!

Does this mean that if I reschedule in April, my mortgage rates will go up? Is there something I can do to find a better deal? I tried to end my current deal early but there is a penalty.

Yes, this is indeed the rate prediction, or at least some version of the predictions!

I have good news for you – many lenders have six month mortgage deals so you can apply for a mortgage now, and once your offer is in (which takes about three weeks) you will have another six month window to complete.

That means you can secure a plan now before it goes up and then tie the deal for the end of your current plan.

Mortgages for applicants with poor credit ratings
Can you please give me some advice on how we can find a company that can help us get a mortgage.

I have very bad credit ratings – but my husband is fine. We rent privately with a guarantor.

This is really difficult to answer as bad credit can mean so many things and lenders have very different approaches to how they view credit default.

For example, some people have many historical defaults (e.g. more than three years ago) that many lenders generally ignore. In contrast, another person may have a single missed payment in the past six months, which means that a lender won’t give them a loan – it’s all pretty complicated!

The very best advice I can offer you here is to take your credit report to a mortgage broker and ask them what they think your options are based on the details in the report.

They may be able to help, and it may also be better to act on your husband’s behalf … I wish you the best of luck.

Home Buying Delay: Will I Lose My Mortgage Offer?
We’re selling our house and in short, it has been going on for months of going back and forth, pulling buyers off and all sorts of other problems. Even though we’ve just found a buyer, the lawyers are taking a long time – so much so that we fear our mortgage offer on our new home will expire.

We basically got the mortgage in June! What happens to the offer and do we get the same conditions if we have to reapply?

I’m having the exact same experience with my own move right now – it’s so stressful, isn’t it?

Your mortgage offer has a valid-to date that you need to check first. The lender may be able to extend this for you, but most likely only for a few weeks.

Once you know how long you realistically have and whether an extension would work on your position in the sales process, I would suggest that you speak to your lender and ask how they can help you with this.

The worst case scenario is that your offer will not be renewed and you will have to reapply. This would mean taking a new tariff, so it’s worth having this conversation with them now so you know what to expect should it come to that. Much luck!

Co-Ownership: What Are My Options When The Mortgage Is Paid?
If you own 50% of a joint property, can you just stay in the property and pay the rent after the mortgage is terminated, or do you have to sell the property?

If you share ownership and your mortgage expires and you cannot repay it, you will have to sell the property as the lender wants their mortgage money back.

When you’ve paid off the mortgage, you can actually stay in the property and just pay the rent for half that doesn’t belong to you.

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