Any suggestions on my situation? (remortgage, sell)

spadoosh

Questions as per title, ill try and list as much detail as i can.

Bought house in 2011 for £104k with 10% deposit. Mortgage was ~4.69%. Stuck with our bank as we had issues with a fraudulent default and just wanted the mortgage. Was over 31 years IIRC.

Remortgaged after that fixed term (2 years). Didnt really look round and had the bright belief that interest rates where due to go up (my predictions have always been pretty sound, this one inevitable always lets me down!). So remortgaged 5 year fix @ 4.49% however massively reduced the term of mortgage (think we remortgaged at around 20 years)

Today we have ~£80k outstanding. The plan was to look at moving when the current deal ends (back end of 2018). I believe our house is worth quite a bit more than we paid. Average valuation on my street according to zoopla is ~£130k, rough sold prices sit around £120k. Im normally quite conservative when it comes to guessing valuations but i would put our house around the £120k mark (think me being conservative) as most of hte properties onthe street are link semi detached (aka terraces) where as mine is a true semi and has proabbly the largest plot. As for the internals there isnt that much in difference, mainly taste in decor. (ours is fairly up to date, new boiler, replaced a few faulty windows, new bathroom, of which none of the ones sold share the same).

Now i know im paying over the odds with the mortgage, we never had it revalued when we remortgaged which im fairly sure wouldve put us in a lower LTV bracket.

We like regular fixed payments hence the complacency and will unlikely overpay at any point. Our decisions where based on how we know we manage money. We prefer the method of choosing the highest affordable repayment option and have savings to cover short term unemployment.

There is an early exit fee with the mortgage but believe there is a 'if less than xx months then exit fee is waived' clause.

We would still like to move (although the house is perfectly adequate to live in forever) im just trying to work out if its better to bring it forward or continue with the plan of moving back end of 2018? Or moving as soon as the exit fee is no longer valid?

I cant imagine our current provider (halifax) will be who we choose to mortgage with going forward. They dont come up in the cheapest very often.

Sorry if this is the wrong place, guess it more house moving than mortgages. But a more mortgage specific question.

Thrugelmir

Your existing lender may allow you to port the existing mortgage to the new property. This would at least allow you to avoid paying unnecessary fees. You could then consider your options once the fixed term has ended. Though you'll need a top up with another product if you intend borrowing more. The choice of product potentially influencing what and when you could do.

spadoosh

Can imagine they would port the mortgage but we would be planning on borrowing more. This part im not clear on. Would they lend more as a separate mortgage (with its separate terms) or would they then combine it meaning im likely to have the same issue of paying more than i should because of the interest rates? And i can imagine theyd encourage fixing me in again.

Even going back to 90% LTV, most comparison sites suggest worst % is ~3%. So id like to do anything i can to not pay the current 4.5%

Thrugelmir

You only have one mortgage. That's the legal term for the charge placed on property to secure the debt. What you can have is more than one loan ( i.e. product).