Shared Equity Mortgages

[Mr.Ix]

We have a house through a Housing Assoc. We have a shared Equity mortgage with the Halofax. We own 70% of the property with the HA the other 30%. We are tied into this mortgage for three years afterwhich we can settle it without penalty. My question is, can I shop around for a better deal after this 3 years is up, with another lender on a normal mortgage, or do I have to stick to lenders that do shared equity mortgages? Our mortgage is for 70% of the property, but will it remain a shared Equity mortgage if I move lenders? Also, will finance companys offer consolidation loans if our property is Shared equity?

[Eeeek]

It remains a shared equity mortgage until you buy-out the share of the HA and own 100% of the property. You are fine to shop around for a new mortgage once your fixed rate expires but not all lenders offer this type. You should still be able to consolidate other debts at the same time though. Hope this helps you :-)

[Mr.Ix]

Thanks Eeeek. Another thought occurs. If I switched my shared Eq. motgage to another lender, would they consider lending me the additional, remaining 30% to buy out the Housing Assoc.? thus making it a 100% mortgage?

[Eeeek]

Yes they would & if this was your intention then you should have the pick of any mortgage you want.