mortgage renewal- current one runs out

mariabrown111

ok so my fixed rate runs out 28th march 2010, if i leave before then i get chrged 6% of remaining balance.if i leave after its just an exit fee of £145... im wanting to move to bigger house, and not sure what to do- do i wait until 28th march and renew my mortagage with a different lender (with better rates) then transfer it to my new home- when i buy it (ive seen one i like). or do i sell my house but tell them i cant move out until 28th march and set up my new mortgage for a new home? im very confused:rotfl:thanks

Joe_Bloggs

It sounds like you will fall on to the follow on rate for your mortgage after the fixed rate runs out. You do not have to get a remortgage at this time. It may be worth finding your original mortgage documentation. Many follow on rates are the lenders Standard Variable Rate at the present time. Some rates track the Bank of England Base rate.
J_B.

dunstonh

Just for clarification, your mortgage is not due for renewal. Mortgages do not have renewal points.

What you have is a mortgage that has a short term deal on it. That deal is due to expire and at that point you will either go onto the standard variable rate or a tracker (depending on what you agreed when the mortgage was set up).

You can shop around for a new deal and remortgage (and tie yourself in) or you can ask the lender what deals they will offer you or you can stay on the SVR/Tracker that you will move on to (the latter seems sensible seeing as you want to move later)

Cannon_Fodder

Ask your lender if it is possible to port the deal to the new house...

If they will let you, worry about re-mortgaging after buying, if you want to be able to secure the house you have seen.