Remortgaging + paying off help to buy equity loan

dhokes

I've currently got a fixed rate mortgage and I used the help to buy equity loan scheme to purchase a house a few years ago. In that time, I've increased my income and saved some money that I could use to pay off the loan amount borrowed directly.

I'm considering using that money to just overpay my mortgage right now and then borrow more to repay the equity loan when my fixed rate comes towards the end. Is that the most sensible approach?

Also, when it comes to remortgaging, do the providers look at your gross pay or net pay? I'm considering whether to make additional pension contributions from my gross pay and I was wondering if this would impact me when it comes to remortgaging.

Any other advice/suggestions would be much appreciated.

K_S

dhokes said:

Also, when it comes to remortgaging, do the providers look at your gross pay or net pay? I'm considering whether to make additional pension contributions from my gross pay and I was wondering if this would impact me when it comes to remortgaging

@dhokes Generally speaking, plenty of lenders will disregard pension deductions (pre and post tax) for the purposes of calculating income for affordability. So on its own it's shouldn't have a huge impact on how much you can potentially borrow for a remo.