Fixed rate mortgage - moving house

cckclark

No. I'm moving to a larger house. Porting over my existing mortgage that has 18mnths fixed rate left. Taking out a new mortgage to cover the additional cost of the new house plus enough to pay off my existing mortgage when the fix runs out and putting that cash in risk free savings that return at least the interest I will be paying on it.

That way I will only have 1 mortgage in 18mnths time

BoGoF

Have you enquired whether or not any additional borrowing can be ported?

cckclark

You mean if I decide to move again later? Not sure I understand...

Thrugelmir

Lenders offer arrangement fee products. As the amount owed reduces the benefit of these products is negated. Rather than take additional borrowing. Seems easier to over pay one of the two sub accounts instead.

If it really is an issue for you. Redeem your existing mortgage product now after paying off what you can. Thereby reducing the ERC.

cckclark

Yea, I thought about that but can only overpay 10% a year so doesn't make a huge dent

SG27

cckclark wrote: »

Annoyingly I would have to get a 2 y fix to line them up. And I want longer as don't trust Brexit.... But I may do that as it's easier than my elaborate plan. But riskier.

Thanks

Why not get a 5 year fix on the new mortgage and in 2 years chamge the old one to a 3 year fix to line them up.