Jump to content

loan or mortgage


higlufc

Recommended Posts

I became an unwilling lanlord 3 years ago when i moved in with my girlfriend. I got consent from the halifax to rent my property out as i could not afford to live there. Now i only owe £23k and have about 6 years left to pay at about £400 a month.The trouble they now want to change my mortgage to a buy to let with a 2% rate rise and £600 fee and would tie me in for another 2 years.Would i be better getting a loan or ignoring the halifax letters because they would only penalise me 1% if i dont change to a buy to let mortgage and may take legal action. What legal action could they take. many thanks

Link to comment
Share on other sites

Now i only owe £23 and have about 6 years left to pay at about £400 a month.

Presumably you mean £23K ?

What legal action could they take.

You will be in breach of your mortgage terms & conditions.

They could take action to foreclose on the loan but are more likely to take court action to force you to convert to a BTL loan. If they do you will have to take the BTL loan, pay all of the charges AND probably their court costs a well........not something thats recommended.

Link to comment
Share on other sites

What legal action could they take. many thanks

The Halifax are well known for taking this type of action and I know of another recent case very similar to your case in question......the person lost their case and was forced to go to a BTL mortgage in place of a residential mortgage.

You have little choice really and believe me the mighty Halifax have a large legal department to follow things up so don't fight them.

Mel.

Link to comment
Share on other sites

Can you raise 23K to pay off the mort ?

I would look at 0% credit cards - depending on personal circs.

i buy props 100% ltv with 0% balance transfers !

no i cant raise that amount, would it be better to get a loan than a mortgage.can you offset the loan against tax i know you can do it for a mortgage,

Link to comment
Share on other sites

Archived

This topic is now archived and is closed to further replies.

×
×
  • Create New...