redeem or increase mortgage

Tilly54

With only just £1500 left on my mortgage that was due to finish next November, I decided the time was right for me to move when I approached Abbey, who holds my mortgage I was told I couldn't port this to the new property and had to take out a new mortgage for a minimum of £60000. I didn't want to saddle myself with another mortgage for a longer term, and was told I had to redeem it. I didn't want to do that either as I needed the money for moving. Is this right?

G_M

1) Ask for a 2nd opinion from Abbey - approach a different branch or call centre.
2) Cost of 'porting' (mortgage solicitors fees, survey, etc) is likely to be uneconomic. Prob cheaper/easier to redeem as you have only £1500. You then have a mortgage-free property to sell which is TONS easier to do your own conveyancing, so save more solicitors fees....!
3)Sounds like you are hoping to buy without a mortgage (apart from the £1500). Again, buying without a mortgage, save £500 (+/-) by considering DIY conveyancing - you need to be confidant, literate and organised but can easily learn what's involved.

Thrugelmir

Tilly54 wrote: »

With only just £1500 left on my mortgage that was due to finish next November, I decided the time was right for me to move when I approached Abbey, who holds my mortgage I was told I couldn't port this to the new property and had to take out a new mortgage for a minimum of £60000. I didn't want to saddle myself with another mortgage for a longer term, and was told I had to redeem it. I didn't want to do that either as I needed the money for moving. Is this right?

If your mortgage finishes next November, why port it? By the time you actually move the mortgage outstanding will be negligble.

Why waste the Abbey's time? Move next November if you need the money to fund the move.