I have £100k, pay off mortgage or HTB equity loan?

Baboon_Warrior

I have a help to buy mortgage. I borrowed £46,000 as a help to buy equity loan. I took out my mortgage with Natwest. I took it out November last year.

I have recently came into some money, around £100,000 to be precise.

What is the most beneficial way to use this money?

Is it to clear my help to buy loan off and use the remainder to overpay on my mortgage to the maximum I can without penalty and then use the rest towards my mortgage as a lump sum when my two year fixed rate period ends?

or

Is it best to not touch the help to buy loan, overpay on my mortgage to the maximum I can without penalty and then use the rest towards my mortgage as a lump sum when my two year fixed rate period ends, then remortgage around year 6 or 7 to pay my help to buy loan off?

Appreciate any help.

Thanks, Steven

Thrugelmir

Baboon_Warrior wrote: »

Is it to clear my help to buy loan off and use the remainder to overpay on my mortgage to the maximum I can without penalty and then use the rest towards my mortgage as a lump sum when my two year fixed rate period ends?

Most likely yes.

What penalty would you incur for redeeming your existing mortgage early.

getmore4less

how fast is the value of the place going up?

brit1234

getmore4less wrote: »

how fast is the value of the place going up?

or going down?

If going down mortgage may make sense.

How long do you have till you have to pay equity loan.