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Probably a stupid question re Interest Only
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Legacy_user
Posts: 0 Newbie
I have been on moneysupermarket.com and moneyfacts looking for quotes for remortgaging.
Briefly our endowment mortgage is due to be paid off in approx 2 years - there might be a slight shortfall.
DH and I are thinking of remortgaging in order to buy a foreign property as there is a considerable amount of equity in our family home. I have been trying to get quotes for both interest only and capital + interest based on:
18 year term and preferably no repayment fee after first 2 years as obviously we will use our existing policies to reduce mortgage.
Looking at the quotes I can see there is a large difference in the monthly payment but no mention of endowment costs for the interest only option.
Can anyone tell me if this is already factored into the interest only quotes or does that have to be calculated/bought separately? I'm unsure because I couldn't find any details on endowment policies on moneysupermarket.com
Briefly our endowment mortgage is due to be paid off in approx 2 years - there might be a slight shortfall.
DH and I are thinking of remortgaging in order to buy a foreign property as there is a considerable amount of equity in our family home. I have been trying to get quotes for both interest only and capital + interest based on:
18 year term and preferably no repayment fee after first 2 years as obviously we will use our existing policies to reduce mortgage.
Looking at the quotes I can see there is a large difference in the monthly payment but no mention of endowment costs for the interest only option.
Can anyone tell me if this is already factored into the interest only quotes or does that have to be calculated/bought separately? I'm unsure because I couldn't find any details on endowment policies on moneysupermarket.com
0
Comments
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Hi
The cost of an endowment policy is not quoted for within a mortgage key facts illustration. A good broker could sit down with you and go through how much everything will cost and explain how it all works
MMI 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 -
Theinvestment vehicle used along side the interest only mortgage has to be bought separately.
YOu will not find many endowment providers, and so you may have to look at other investment options such as ISA, OEICS etcI am a Mortgage AdviserYou 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
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