Which mortgage to overpay - letting question

molit

Right, I have 3 houses, all of which I have lived in at some time. two are currently rented out, both on residential mortgages with consent/permission to let. My mortgage deals are due to expire next year - Jan, March, and May IIRC.

Jan mortgage is about 50% ltv, repayment, rented out with consent to let. (2.99%)

March mortgage is around 77%, interest only, permission to let with nationwide, with a rate of 5.5% (including the 1.5% surcharge)

My mortgage is about 73-74%, repayment, and my main residence, at about 4% interest.

My thought is to get the march mortgage converted to a btl, due to the intererst rate, but this would mean overpaying. I should be able to do this, but if not, i was wondering about the sense of increasing my borrowing on my main residence to get the money to do this? I was just wondering what peoples thoughts were

molit

sorry to bump this, i was wondering if anyone did have any thougths

ACG

Speak to a broker who can look at all the paperwork and do some comparisons for you.

There isnt really enough information to go off. You could be paying 5% on £20k and 2.99% on £140k. Going off what you have said it sounds best to try and clear the middle one, but there isnt enough information to give an accurate answer.

molit

good point - first one is 80k outstanding at 2.99, 2nd one is about 180, 3rd around 145

Plan is to chat to a broker november/december this year, but thought forewarned is forearmed - even down to the stage of whether to push the cash into an ia, or into the mortgage (the second one most likely)