We’d like to remind Forumites to please avoid political debate on the Forum.
This is to keep it a safe and useful space for MoneySaving discussions. Threads that are – or become – political in nature may be removed in line with the Forum’s rules. Thank you for your understanding.
📨 Have you signed up to the Forum's new Email Digest yet? Get a selection of trending threads sent straight to your inbox daily, weekly or monthly!
Pay off Mortgage?

Haw_Haw_2
Posts: 11 Forumite


I have approx £2k left to pay on my mortgage, i've had some conflicting advice as to whether i should pay off completely or leave the mortgage open with a small amount to pay - If i pay off would i still need to pay bank/solicitor to keep the deeds? I hope to buy a new house at some point in the near future, so would it then be more beneficial to leave the mortgage open and transfer all to a new morgtage when i find a new property?
Thanks
Thanks
0
Comments
-
Why do you think it would be beneficial to keep it running?
Deeds are largely irrelevant these days, as everything is lodged electronically with the Land Registry.I am an Independent Financial AdviserYou should note that this site doesn't check my status as an Independent Financial Adviser, so you need to take my word for it. This signature is here as I follow MSE's Adviser Code of Conduct. Any posts on here are for information and discussion purposes only and shouldn't be seen as financial advice.0 -
I'm not sure if it's true but I have heard that if you are on a good mortgage rate deal this keeps it open for use later if you move or want to increase the mortgage and retain the good rate.0
-
I'm not sure if it's true but I have heard that if you are on a good mortgage rate deal this keeps it open for use later if you move or want to increase the mortgage and retain the good rate.
Yes, you can "port" it, but normally only the amount outstanding, so in your case, you could port £2,000 on your existing rate.I am a mortgage adviser.You should note that this site doesn't check my status as a Mortgage Adviser, so you need to take my word for it. This signature is here as I follow MSE's Mortgage Adviser Code of Conduct. Any posts on here are for information and discussion purposes only and shouldn't be seen as financial advice.0 -
I think it depends how soon you might want to purchase a new house. Have been in a similar situation and decided to pay off entirely rather than leave a little on the mortgage. We will want to move house but not for 3-5 years.
Re Deeds - I was told by our provider that if the mortgage was taken out after 2006 then the Deeds are always electronic. If taken out before 2006 then best to ask provider / solicitor for confirmation.0 -
There seems to be no point in keeping a mortgage open anymore. As someone has already stated, there are no paper deeds anymore as they are held electronically at the land registry and so exisitng paper deeds are now worthless, though an interesting curiosity if you have an old house. There is also no point keeping a line of credit open via the mortgage because if the time ever came where you wanted to borrow money (i.e. an extension, new roof, etc.) there is no guarantee that your existing lender would have the most competitive mortgage rate, in fact it's highly unlikely.0
-
Thanks for your help, as the mortgage was taken out before 2006 i'll check with mortgage provider re the deeds. The rate i'm on just now isn't great so probably not worth keeping the mortgage open for new house...if and when that happens!
Thanks again0
This discussion has been closed.
Confirm your email address to Create Threads and Reply

Categories
- All Categories
- 351.7K Banking & Borrowing
- 253.4K Reduce Debt & Boost Income
- 454K Spending & Discounts
- 244.7K Work, Benefits & Business
- 600.1K Mortgages, Homes & Bills
- 177.3K Life & Family
- 258.4K Travel & Transport
- 1.5M Hobbies & Leisure
- 16.2K Discuss & Feedback
- 37.6K Read-Only Boards