Selling home will pay off mortgage

Shoreyman

Hi,

Struggling to get a definite answer on this one and thought I would try here before being kept on hold with our mortgage provider.

We are looking to sell our house and move to rented accomodation. We still have about 20 months on our mortgage. What will happen to the mortgage? Will we be charged for paying the mortgage off early?

Thanks

Contemptuous

Are you tied in in any way? On a fixed rate? Do you mean 20 months left of the term or a fixed period?
If you're not tied there may just be some sort of closing admin fee of a couple of hundred pounds. Depends on the lender.

ViolaLass

Depends on your T&Cs.

Shoreyman

Thanks for the response.

Yes its fixed rate with 20 months left on fix not the term.

Will dig out the T&Cs and check. Wasn't something I was concerned about when we took it out but plans have now changed.

AnotherJoe

Yes its fixed rate with 20 months left on fix not the term.
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I think most fixes have an ERC otherwise they would be one-way bets in your favour.

Thrugelmir

Shoreyman wrote: »

Yes its fixed rate with 20 months left on fix not the term.

That's a different scenario to

We still have about 20 months on our mortgage.

Will the equity in the property when sold be sufficient to repay and discharge the mortgage?