Has the time come for Co-op shared-equity mortgage holders to switch deals?
The Co-op recently announced that its shared-equity mortgage holders will not be able to benefit from low remortgage rates when they come to the end of their fixed rate term. Instead mortgage holders will be moved on to the lender's SVR currently set at 4.74%.
'Ownhome' was a government backed scheme launched in 2008 by the Co-op, it was withdrawn 2 years later when the government withdrew funding. Home-owners were not required to come up with a deposit, and took on a shared-equity mortgage made up of between 20% and 40% as a loan and the balance as a mortgage.
If you are a home-owner with a Co-op 'Ownhome' mortgage taken out between 2008 and 2010, now could be the right time is search the market to remortgage with a new lender.
If you are being refused access to an affordable and fair remortgage in line with current rates then you should look into your remortgaging options with another lender.
Not all UK lenders may be willing to take on this type of deal, however factoring in property prices having risen and up to 6 years mortgage payments being made, you may have enough equity built up in your home to consider an alternative deal.
If you want to find out what your remortgaging options are, call an adviser at Deal Direct on 0800 048 8828.
We are here to get our clients the best mortgage possible for their circumstances. We know all lenders mortgage criteria and product ranges and so call us and let us find you a better deal.
Call today on 0800 048 8828 and let us beat your current mortgage offer.
