Not sure what to do

debjam

Evening all, have spent a lot of time following this site over the last few months and would like to say hi to all who post, I feel that I know you all personally.

Not sure if I should post here or in mortgage free wanabe page but I will try here first.

We have the opportunity of paying off the mortgage on our joint owned property (OH selling his house as we moved in together and rented his out). The thing is I can pay the mortgage off outright on our present property and will have a little left over. (I know you all cry where's the problem then!!)

Problem is there are things we want to do to our present house (new kitchen, garden, double glazing) and the money left over won't cover this completely so do I get another mortgage or go for a loan. We probably need between £6k and £10k. I have checked out best buys and they all come out about the same repayments and the same interest rate, Is there an advantage for having a mortgage.

I'm sorry if this seems like a stupid query but I'm really not sure if I am just making a mountain out of a molehill.:o

Thanks for persevering and grateful for any answers.

Deb

Bernard_Coleslaw

There is another alternative, which is to not pay your mortgage off completely.

From the money you were going to use to pay it off, deduct the amount you need to do the home improvements, so you end up with the original mortgage left with a balance of £6 - £10k. Much less hassle (and fees) than paying it off completely only to take a new small mortgage out again. Of course, I suppose this does depend on how much term you've got left, what rate, etc, but to me it's the non-hassle option!