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Selling on tracker mortgage

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Comments

  • foxy-stoat wrote: »
    Why would you want to pay another £999 to be in a product for a few months, makes no sense.

    The no-fee option has higher interest rate and therefore higher monthly mortgage payments.

    Compared to paying £999 upfront:
    • Adding the £999 to the mortgage increases the monthly payment by £3.
    • Choosing the no-fee option increases the monthly payment by around £40 per month.
  • davidmcn
    davidmcn Posts: 23,596 Forumite
    Part of the Furniture 10,000 Posts Name Dropper
    kamb1ng wrote: »
    The no-fee option has higher interest rate and therefore higher monthly mortgage payments.

    Compared to paying £999 upfront:
    • Adding the £999 to the mortgage increases the monthly payment by £3.
    • Choosing the no-fee option increases the monthly payment by around £40 per month.
    So you'd take 25 months to break even? I thought this was just to tide you over for a few months?
  • davidmcn wrote: »
    So you'd take 25 months to break even? I thought this was just to tide you over for a few months?

    Yes it's just to tide me over for a few months. That's why I'm trying to minimise the monthly payments.

    How does choosing the £999 product fee (added to the mortgage) impact my plan?

    Am I missing something here? Thanks.

    Martin
  • foxy-stoat
    foxy-stoat Posts: 6,879 Forumite
    Eighth Anniversary 1,000 Posts Name Dropper
    Divide £999 by the £37 = 27

    No point in saving £37 a month for say 6 months and paying £999 for it.

    You are missing something.
  • foxy-stoat wrote: »
    Divide £999 by the £37 = 27

    No point in saving £37 a month for say 6 months and paying £999 for it.

    You are missing something.

    Well, that was embarrassing...

    giphy.gif
  • foxy-stoat
    foxy-stoat Posts: 6,879 Forumite
    Eighth Anniversary 1,000 Posts Name Dropper
    kamb1ng wrote: »
    Well, that was embarrassing...

    This IS a money saving site ya know !
  • Thanks everyone!
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