mortgage security help

[bubblebobble]

Ok, thanks chaps.
Just as I thought, I will sell one of my other properties instead to buy that nice place in france.
cheers!

Edited by bubblebobble on Saturday 14th November 22:44

[Road Pest]

I would imagine you'd get stuck selling the property when the second charge is mentioned to either solicitor.

If the lender has said it will need to be revalued then yes they'll send someone to do just that.

If the LTV doesn't stack up you could always use funds from the sale of the other property to reduce the mortgage on the res/com one.

Edited by Road Pest on Saturday 14th November 19:11

[JQ]

^^^^ and if you do manage to sell it with the second charge (not likely), the bank will just call in your loan on the first property. You will then find it quite difficult/expensive to remortgage.

Ultimately you will not be able to avoid getting the first property re-valued - the bank will not make any decisions without an up-to-date valuation. I would expect quite a big hit if it was last valued in 2006, commercial values have dropped considerably more than residential.