PPR Tracker Property Now A Resi Investment

[jim masters]

Hi,
I have a BOI tracker from my old PPR mortgage. I now longer live there and have rented it out.
A KBC RIP loan I had was sold to BOI and I want to amend the terms of it (extend term) but to do so I need to do the whole SFS thing.
Am fearful that if I give them the entire picture they may go nuclear on the old PPR facility. How likely is this ? On balance think it may be better to not seek the terem extension as will get away with the PPR under the radar otherwise but risk blowing it up if bring attention to it.
Am I being over cautious or is this the right course of action?
Many thanks.

 

[skrooge]

No first have experience of this but given all the issues around trackers the bank is unlikely to want to open that can of worms.

While the bank is looking for an sfs will it show you've a valid case for a term extension? Or might it make the case (for the bank) that you're in positive equity and should dispose of the property to pay off the loan.

 

[Brendan Burgess]

A KBC RIP loan I had was sold to BOI and I want to amend the terms of it (extend term) but to do so I need to do the whole SFS thing.

If you need to extend the term, it suggests that you are overborrowed.

If you just "want" to extend it, then don't bother.

While it is unlikely that BoI will move you onto an RIP rate, it's possible and the difference would be huge - depending on how much you owe on your former home.

 

[Brendan Burgess]

Sell the RIP.

Ah, I see that we reached this conclusion a year ago.

Advice on (i) Unlocking Pension to Repay debt and (ii) whether to keep RIP

Personal details Age: 51 Spouse’s/Partner's age: 46 Number and age of children: 6, 11, 13, Income and expenditure Annual gross income from employment or profession: 130k Annual gross income of spouse: 80k Monthly take-home pay 10,352 In general are you: (a) spending more than you earn...

www.askaboutmoney.com

It's even more obvious now.

Take the financial pressure off yourself.

Brendan