Remortgage and then selling

Steor1234

Hi sorry if its a daft question but we are looking at selling are house but we thought we could remortgage in June pay off are debt and then put it up for sell in the November would this be possible?? Or is there a rule or Penalty for doing this??

Thanks ste

Thrugelmir

Equity withdrawl for for the purposes of debt consolidation may well be declined. Suggest you tackle your debts by reviewing your outgoings.

Annisele

In general lenders don't like debt consolidation. If it would take your LTV above 75% or so (exact figure depending on the lender) they will likely decline.

Most of the decent rates available also come along with early repayment penalties if you repay your mortgage within [some period longer than six months] - so depending on figures and the rates available to you, your plan might not be financially worthwhile.

In general I suspect it'd be easier to sell a house in June rather than in November - people don't like moving house over Christmas. Is there a particular reason you want to leave it so long?

kingstreet

You will cause early repayment penalties if you opt into a new mortgage deal, then soon after pay off the mortgage by selling.