bit of advice about selling

slugger230

hello,
im looking for a bit of advice about selling my property. i bought the property in summer 2007 and at the time took a 10 year fixed rate with the woolwich. i now need to move away and need to sell the property. i have checked my original contract and the early re-payment charge might be as much as 6%!! does anybody know if they have changed their policy on this as i notice now it is 3% or does it even reduce after a certain time? the mortgage is transferable. i have about 50k in the property which i need to release. obviously i dont want to have to pay this money over to the mortgage company for nothing, is there anything i can do to avoid this? there is a couple interested in a swop deal, their property is worth about 1k less than my mortgage amount, does anybody know if this is an option and how it would work? the rental income of this property would be about 150 less than the mortgage repayment amount.
my credit score is not as good as when i took out the mortgage but the equity will pay off any outstanding debt.

koexelek

That mortgage deal should be portable from property to property..... subject to new underwriting.
So they could technically say no, if they don't like your current credit rating, even if you are borrowing less money.

If you borrow less, the penalty is usually on a pro rate basis
i.e. if you borrow half as much as last time, you pay half the penalty.

as to whether the penalty is the same throughout the ten years, or whether it is on a sliding scale, you really need to refer to your original offer... as this varies from lender to lender.