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List of mortgages with no early repayment charges?
SouthLondonUser
Posts: 1,445 Forumite
My LTV is < 60% and I have a very good credit history (no defaults, no CCJs, etc.).
I need to remortgage and am interested in mortgages with no early repayment charges because I might, maybe, need to move elsewhere after about a year. The only such mortgages I know of are HSBC's trackers, which are currently 2.09%, vs the ca. 1.15% 2-year fixed I could get elsewhere. In other words, a 2-year fix + early repayment penalty would end up costing me about the same as HSBC's tracker with no penalty (by cost I mean, of course, the interest paid + the penalty). Leaving aside, of course, the risk of interest rates rising.
Do you know of other mortgages with no early repayment charges?
Thanks.
I need to remortgage and am interested in mortgages with no early repayment charges because I might, maybe, need to move elsewhere after about a year. The only such mortgages I know of are HSBC's trackers, which are currently 2.09%, vs the ca. 1.15% 2-year fixed I could get elsewhere. In other words, a 2-year fix + early repayment penalty would end up costing me about the same as HSBC's tracker with no penalty (by cost I mean, of course, the interest paid + the penalty). Leaving aside, of course, the risk of interest rates rising.
Do you know of other mortgages with no early repayment charges?
Thanks.
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Comments
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Yes. I have one with another Hogg street lender for the same reason as you. If you are in doubt speak to a broker and compare what you have found to what they have ?I am a Mortgage AdviserYou 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.0
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Actually, most banks offer portable mortgages, so renegotiating the mortgage shouldn't be impossible, but I have to pay attention to the fine print: not all lenders offer it, and most offer it after a certain period only (e.g. after 12 months, not before).0
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I would not rely on portable terms. What happens if they change their criteria?I am a Mortgage AdviserYou 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.0
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ERC's come with fixed term products. So anything variable should meet your requirement. Coventry BS as an example, offer Flexx for Term products with no erc's.0
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SouthLondonUser wrote: »I don't follow. I would still need another mortgage if I move, even if I could repay my old mortgage with no penalties, so I am exposed to the risk of not meeting new lending criteria no matter what!
Yes the lending criteria could change, ie you may not meet their affordability criteria, the house may not be suitable security for the lender.
So portability is there but not guaranteed to be able to be used for the property that you have chosen, if you are thinking of possibly moving best to go for no tie ins.0
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