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Mortgage and additional borrowing help
Jrose1927
Posts: 106 Forumite
Hello
Today I applied for additional borrowing as I'm buying a higher priced property
Im tied in with my current deal at 1.85% until March
I've asked for additional money therefore I'd have to tie in for 2 years on a separate deal
These 2 payments will always be separate so at some point will have to pay Early repayment charge at some point
Problem is if I paid it now my rate would go up to 1.95 on all the loan plus I'd have to pay a set up fee
Not sure what's best to do
Today I applied for additional borrowing as I'm buying a higher priced property
Im tied in with my current deal at 1.85% until March
I've asked for additional money therefore I'd have to tie in for 2 years on a separate deal
These 2 payments will always be separate so at some point will have to pay Early repayment charge at some point
Problem is if I paid it now my rate would go up to 1.95 on all the loan plus I'd have to pay a set up fee
Not sure what's best to do
0
Comments
-
The ERC will be voluntary if you get your timings right on retention deals or moving lender.
Might need one bit on a higher rate for a short time.
A lot of lender deals are not really full years and they allow change early so it iis possible to get the gap smaller over time
If your lender does 2 and 3 year you can probably sync up in 2 cycles.0 -
Can you have this new additional mortgage on a variable/tracker rate with no ERCs?0
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