Help to buy remortgage advice

Jonathanc119

Hi

I purchased a property for £105,000 with the help to buy scheme.

Deposit £5000
HTB £20000
Mortgage £80000

Current mortgage payments £301.00 pm over 35 years

Current mortgage balance is £76,162.66.
Halifax (current provider) have set a current valuation of £117,000 (I don't know how accurate this is)

I'm coming to the end of my 2 year fixed rate and have the below 2 options but don't know which is best.

Option 1. Incorporate the help to buy loan in the mortgage on a 2 year fixed 2.79% - £384.30 a month over 33 years.

Option 2. Dont include the HTB loan and reduce the term to 25 years paying £355.99 - 2 year fixed 2.84%.

I would add that I intend to sell the house before the interest kicks in on the HTB loan and that there is very little chance of me saving the full cash amount to pay the HTB in the next 3 years.

Any advice would be greatly appreciated..

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Daniel_Sparkes

Hi Jonathan,

Very valid question, you raised some interesting points. I would suggest speaking with a mortgage broker, as they can do a complete breakdown of costs involved, and give you exact calculations on what is the most financially beneficial solution.

Any questions just let me know.

Daniel