Mortgage break now or later?

nwsbs

Hi all,

New here. I’m currently furloughed by my employer with a top-up as I am above the cut-off so I am grossing just less than 70%. I work within the airline industry. I have a slight dilemma with regards to my mortgage.

At present, myself and my partner feel comfortable enough to not have to take a mortgage payment break, as we have sufficient savings. However, bearing in mind the industry we are in, there is a feeling that normality will take a lot longer than many other areas of business and so if we are not back to some form of normality by October for example, we then may need some help with the mortgage.

So, my question is, do we take the easily available mortgage break for 3 months now (the money is better in our savings account than paying the provider) and thus cut the risk of not being able to readily take a break September onwards (giving us an extra 3 months then of breathing space), or do we sit tight, hope for the best and take the risk that the banks aren’t being so nicey nicey come September/October?

We will be able to re-mortgage in January so I am hoping if all is well by then that we will be able to bag ourselves a far better deal as we will not be classed as a new-build mortgage by that point.

Any suggestions welcomed!

Thanks!

sharpe106

Nobody has a crystal ball, so nobody knows what will happen in the future. At some point the government has going to have to stop trying to save everybody. The current schemes will have to end, will that be June or will it be extended nobody knows. If it was me, I would be making my plans that it would end June. So basically the question you need to ask yourself is how secure do you think your jobs are once the furlough scheme stops.  If you have savings rather than mortgage holiday, could you not cut down on other expenses so the savings last longer, or even try to get another job in the meantime so again savings last longer.