Offset help for a newbie?

worrierben

Hello all,

I was hoping I could pick someone's brains. Myself and my partner are looking at taking a £150,000 mortgage over 25 years. We have the potential thanks to family members (we can't increase our deposit) to have £50,000 in a offset account.

Now my question is... the month repayments are fairly high, which is putting us off getting the house and I know the offset amount doesn't help this.

However if we are paying off more capital because of the £50,000 we are offsetting would we be really losing out that much if we took the mortgage out over a 35 year period?

Thanks
Ben

Thrugelmir

If finding a £100 or so extra a month is a problem. Then maybe waiting a while longer is advisable until your finances are better. Not worth taking unnecessary risk with such an important purchase. A mortgage is a long term commitment that has to be paid month in month out.