I want 2 pay off my mortgage early@remortgagestage

Yeh_Hi_I_need_Help_plz

Yellow!


I am about to get a mortgage and need help when planning for the future. We are going to get a 5 year fixed rate mortgage and at the end of this time period we will have saved about £50k (or more, as we are letting out one room to a friend). Our mortgage, which is originally £190k, would have been paid off by about £40k I think. I thought it would be a good time to re-mortgage to get the payments to decrease (and then have the house to ourselves...) but I don't know if I at the re-mortgaging stage, if you go with another bank if they just let you pay off a big chunk like that, as it's not very beneficial for them. Would they still charge you some how?


I would be very grateful if anyone has any experience with this and could help me. Thank you

edinburgher

I'm confused? If you're re-mortgaging to a new bank you're not 'paying off a big chunk', you're just borrowing less to begin with.

[Deleted User]

When you remortgage, you simply borrow the amount you need. If your savings mean you don't need to borrow so much to redeem the first mortgage, then that's all good.

Any ERC isn't impacted by whether the money is coming from your new mortgage provider or your bank account.