Remortage? Only £25k outstanding

WallyBird

I am on a standard rate mortgage, with 10 years and £25K left to run. I may be moving house soon (within two years), but want to do some work on my current house to help sell it. (EG. repair roof, replace windows, bathroom & kitchen, redecorate.)
My question is - is it worth changing my mortgage for such a short length of time? (1 or 2 years)
Thanks for your help.

kedj

Have a look at the remortgage calculator at http://www.moneyextra.com/
It will tell you the potential savings on a remortgage over the period that you specify. That should give you an idea.
Due to the fees, it may be difficult to make a significant saving on a relatively small mortgage. If you are taking extra borrowing for your repairs then it may become more worthwhile. If you are already thinking about moving then stick to mortgage products that are going to be portable - you may decide to move sooner. As long as it is portable, you could consider deals that extend beyond the 2 years - if its a good deal then it can continue to be a good deal as part of your borrowing on your next house. Although that will restrict you to the same lender when you move.

cattie

Taking account of fee's to pay then it is probably going to be more cost effective for you to ask your present mortgage lender what deals they could offer you.

I have a smaller mortgage than yours with Halifax. When the discounted deal I was on last year expired I ask them what else they could offer me.

Although I also had quotes from a couple of deals from Nationwide, sticking with the Halifax worked out cheaper over the term of the mortgage as I avoided having to lay out cash for fee's & stuff.

WallyBird

Thank you for your replies. I did what you said and found the fees etc offset any gains. So I rang my mortgage provider and got a 1% reduction (£28 per month), just for asking. Only wish I had done it years ago!

Thanks to both people who replied!