Pay £1500 early repayment or keep 6% fixed.

kemo_2002

Our fixed rate with halifax as 18 months left, we are fixed at 6%

The early repayment is £1500 so i'm almost positive that its worth us paying this, would i be best seeing a broker about this?

we have £66,000 left on our mortgage, house is worth around 85k, could easily be more. 30 years to go, but currently overpaying a lot to reduce the term.

Can anyone offer any advice?

Thank you :j

AnotherJoe

As an example, if you could switch to a 2% mortgage then you'd save around £2,600 a year, eg about £4,000 in 18 months. So yes you should get switching asap !!!
And yes see a broker because adjusting the LTV might drop you down some noticeable amounts which would point you towards specific lenders. For example you are currently at 77% or so. There may be thresholds at 75%.

getmore4less

You can't just use the savings on the difference in rate there are other factors.

£66k @ 6% 30y £400pm in 18months £64685

add £1500, to breakeven with £400pm you need a rate of 4.4% or better.

if you have other fees you will need a better rate eg with a total of £2500 fees 3.36% or better

if overpaying the answers will be a bit different.