Quick questions about re-mortgaging and overpayments

IBJackJones

My 2.69% rate ends in 12months and I am eligible to switch to a new mortgage deal.
when I go to switch to a new deal could I add some savings to reduce my mortgage amount without incurring penalties?
For example: mortgage amount before new deal 100k, 20K in saving, can I ask for mortgage of 80K?

Does anyone know if Halifax take overpayments into consideration instantly or at the end of the year?

kingstreet

Yes, you can do that as soon as your deal ends, or within any early repayment penalty-free limit.

Alternatively, you can pay it to the solicitor who handles the remortgage to put to the new mortgage money to repay the old one.

If your mortgage is recalculated daily/monthly you will get the benefit of the interest reduction based on that. There aren't many annual rest mortgages left.

Check with your lender to make sure.

IBJackJones

kingstreet wrote: »

Yes, you can do that as soon as your deal ends, or within any early repayment penalty-free limit.

Alternatively, you can pay it to the solicitor who handles the remortgage to put to the new mortgage money to repay the old one.

If your mortgage is recalculated daily/monthly you will get the benefit of the interest reduction based on that. There aren't many annual rest mortgages left.

Check with your lender to make sure.

Thank you Kingstreet, since I have joined this Forum you have been nothing but informative and extremely helpful