Add cash at remortgage time or overpay now to reach lower LTV band?

bjt42

I am planning to remortgage at the end of September when our current deal runs out. If I wanted to access deals at a lower LTV band, is it straightforward to add cash at remortgage time or would it be simpler to make overpayments to my current mortgage now in anticipation?

bjt42

I should probably also say that I believe my case to be otherwise straightforward and will probably approach a lender direct, in case that makes a difference to the ease of adding cash.

libf

I put an extra £1k in when re-mortgaging from Woolwich to Nationwide, having applied direct with Nationwide and using their conveyancers, and it wasn't an issue. Just had to make a payment to the solicitor in enough time.

Maelwys

bjt42 wrote: »

I am planning to remortgage at the end of September when our current deal runs out. If I wanted to access deals at a lower LTV band, is it straightforward to add cash at remortgage time or would it be simpler to make overpayments to my current mortgage now in anticipation?

I did this after my last Fixed Deal expired just under two years ago, although I ended up switching deals within the same company rather than moving lenders (Barclays -> Barclays). It was just a matter of me making a one-off direct debit payment to them from my current account to cover the shortfall.

Although I will point out one thing that you might want to be careful of - it turned out that whenever I setup the original mortgage Barclays automatically gave me a linked Current Account with an overdraft facility on it. Although I never used this overdraft facility, it apparently "counted" towards my LTV ratio with them. I had to get Barclays to remove it in order to bring the LTV ratio down to where it should have been before I could make the extra debit payment and get onto the lower rate deal!