Annual overpay limit

newnhak

Hi

I am due to remortgage next year and am a bit confused as to overpayment rules.

Do all mortgage providers limit the amount you overpay? At the moment I could pay my mortgage in 5 years but I dont want to overstretch myself in case something changes so would rather stretch the new mortgage out over 10 years and overpay when I can.

If they all have an overpayment limit would the best option be to get a mortgage with no ERC? My thinkings was that this would mean I could put the money that exceeds the overpay limit away and then re-negotiate a new mortgage at a lower amount using the money i have saved (and if I cannot overpay then I can just stay on the 10 year mortgage)

Any advice welcome

Thanks

JasX

They all vary and will have different rules/charges/limits on overpayments (up to and including no restrictions at all on overpayments).

You'll have to read the small print (and might do well to talk to an independant broker)