You don't need to be an 'investor' to invest in Singletrack: 6 days left: 95% of target - Find out more
We are about to start the process of remortgaging (meeting the broker in two weeks time) but I've got some car issues that aren't financially sensible to fix.So it's looking like it's time for me to get a new car, but I'll need a loan to buy the car. The loan would only be £6K, so low repayments each month.
How much of an influence would this have on the remortgage offers etc?
I was hoping the car would last until this process was complete, but it's not looking good at the moment.
Thanks all
You could always do a cheap rental until the mortgage application was sorted and then take out a loan for the car once its signed off.
The answer to that will very much depend upon your circumstances.
Is the broker also an IFA? If so, can you hold off taking out any credit until you've spoken to them and looked at all your options?
Remortgage and add the 6k for the car to the mortgage.
Pay the "extra" off as quick as you would if it was a normal loan or don't
Good Luck
Yep I was going to suggest you up the re-mortgage value a bit to cover the cost of a car, if you were already budgeting to repay a car loan anyway (say a couple of hundred a month for ~36 months?) still do that, but as overpayment on the mortgage. paying down a mortgage faster saves you interest over the longer term anyway, you'll have the option to simply stop those overpayments if you need to reduce you're outgoings at some point without defaulting on a car loan and losing your vehicle, and you'll hardly notice the difference that extra £6k makes to the basic monthly mortgage repayments (depending on the life/value of the mortgage of course)...
Just talk to the broker and explain what you want to do, he/she is bound to have some advice...