refinancing

karen1998

I want to get 5000 extra on my mortgage and bring the term back to 25 years this would clear my debt and i would be 170 pound a month better of. The problem is there is only one income now and have another year left in my fixed rate. Please advise.

blueberrypie

This board isn't really the best place to be posting your question, as it's for those who want to pay their mortgage off, rather than increasing and extending it. Your questions re remortgaging would be better on the Mortgages board, but your overall situation would fit best on the Debt Free Wannabe board. But I'll answer some of what you're asking here anyway.

Borrowing extra on your mortgage, for whatever reason, often seems like the cheapest way to access extra funds - but in fact because it's paid off over such a long time, it costs a lot in the long run (due to interest being paid over so many years).

Re the reduced income - do you have enough income now to remortgage for the amount you want to borrow? Do you have enough equity in your home? Any new borrowing will be approved/declined on the basis of your current income.

As for the year left in fixed rate - there will almost certainly be an Early Repayment Charge if you leave your current product, and it will have to be paid if you remortgage before the fixed rate is up.