Pay off mortgage or maintain a small mortgage

GCB123

Looking for some mortgage advice.

My situation is currently I’ve a mortgage which I’m in a fortunate position to have overpaid on. I’ve got the point that I should be paying off the mortgage within the next 12 months. I’m mid late 50’s single, live on my own, and would like to be mortgage free. 

The but! is currently I live in a flat and would like to purchase a small house in the next year or two, this though would require additional/new mortgage to purchase. This though is also all very dependent on in the next couple of years whether my current job still remains, thus also partially why trying to get to mortgage free, as at least I would then have a roof over my head.

Question is though whether to pay mortgage off totally, or negotiate if possible with my mortgage provider to pay off the small remainder of the existing I have over a longer period or the remaining original term (circa 10 years).  Assuming the positive and am in a position to buy a small house would it be better to have an existing mortgage in play, even if I was not paying much on it so I have a current mortgage /credit history, or to pay it off and start afresh when/if the time comes to buy a house. As current would not be looking to have mortgage past state retirement age, or a mortgage that I was uncomfortable with repaying if rates went up.

Thanks G.

dimbo61

I would pay down until the balance is £50/100 left.
Then you know your mortgage is easy to clear.
The equity in the flat can go as the deposit for the house if you decide to move.

Thrugelmir

Clear the mortgage , leaving a balance makes no difference at all.