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Advice please
x90tsb
Posts: 42 Forumite
Hi all,
After some advice please.
In June this year I moved in to my first home (FTB). Purchase price £165,000 - this is made up of a mortgage of £107,000, H2B of £33,000 and deposit of £25,000. The mortgage I have is with Nationwide, 2.94% 5 year fixed rate.
I am now four months in and have approx. £500 left over after all out goings each month. I want to do something with this money, and don't know whether to:
A - Put the cash in a savings account, in year 5 (before the interest kicks in) use the money to pay off as much of the H2B as I possibly can. I will then have to add the remaining H2B balance to the mortgage.
B - Simply over pay the mortgage each month and add the H2B to the mortgage in year 5 before the interest on H2B element kicks in.
Any advice really would be much appreciated
Thanks,
Tom
After some advice please.
In June this year I moved in to my first home (FTB). Purchase price £165,000 - this is made up of a mortgage of £107,000, H2B of £33,000 and deposit of £25,000. The mortgage I have is with Nationwide, 2.94% 5 year fixed rate.
I am now four months in and have approx. £500 left over after all out goings each month. I want to do something with this money, and don't know whether to:
A - Put the cash in a savings account, in year 5 (before the interest kicks in) use the money to pay off as much of the H2B as I possibly can. I will then have to add the remaining H2B balance to the mortgage.
B - Simply over pay the mortgage each month and add the H2B to the mortgage in year 5 before the interest on H2B element kicks in.
Any advice really would be much appreciated
Thanks,
Tom
0
Comments
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I would do a combination of both. Put some money away for a rainy day in case the boiler packs in or something whilst overpaying the mortgage.0
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Duplicated thread on M&E.I am a mortgage broker. 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. Please do not send PMs asking for one-to-one-advice, or representation.0
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Thank you
0
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