Any point remortgaging whilst waiting to move?

amnblog

I am not aware of any Halifax product transfer products that do not have early repayment penalties. Therefore it is not a good time to change product, as you don't know your plans in the coming months.

If you need to, or choose to, use another lender if you move you are not going to enjoy paying Halifax an ERC of up to 4%

JimmyTheWig

amnblog wrote: »

I am not aware of any Halifax product transfer products that do not have early repayment penalties.

Presumably, however, you agree with the theory that if they had one it might be worth the OP doing it. And that the only cost of finding out is a wasted phone call?

amnblog

but they don't have one

northernsaver

Depends if you want to port your existing mortgage or not. My mortgage company (if I ported my current mortgage) would move my mortgage to a new property, but if I needed any further funds, that would go on a new product.
For example if your mtge is £100k at 3.99, you could port this to a new property (if allowed by the new lender) and have the extra (eg £20k) on a sub at 3.5%.

Also depends on the current rate you're paying. If it's higher than what's out there, I'd change now then get additional funds at the new house

amnblog

you cannot rely on porting as this leaves you with a one lender option on new underwriting on a new property

stevied73

You may well find you cannot remortgage if your house is up for sale. I have been told this today by two lenders (YBS & Santander), even though their products are portable. YBS' explanation was that an impending house move makes it more likely that the mortgage will be redeemed after only a very short time, due to me moving to another lender. Despite the fact I'd chosen a 5 year fix with ERCs that would have sent their profit through the roof.
Santander didn't even bother to give me an explanation.

MrMrMr

Maybe better to not then reading above. It's not that large a mortgage, so maybe even a 2% reduction would make much really anyway?

I know the answer as such but, how much should I overpay? What makes a decent dent in it? What % of the current mortgage for example would be good to overpay? I wish if started years ago on overpaying.

JimmyTheWig

MrMrMr wrote: »

I know the answer as such but, how much should I overpay?

I guess the answer that you know is that you should overpay by as much as you can. Ensure that you have enough savings for a rainy day, then after that put everything into the mortgage (as long as you don't get hit with early repayment charges for paying too much).

What makes a decent dent in it?

Have a play around with the figures. There's an overpayment calculator on this website which might help.
As a rule of thumb I think paying a mortgage off in 18 years, rather than 25, is a reasonable comprimise to aim for.