Should I keep a small mortgage

housebuyer143

Movie_Star said:

Why keep a mortgage when you can easily afford to end it? The interest payable is like putting cash in the middle of the floor and burning it.

With interest rates significantly lower than inflation, it seems like a no brainer to keep a mortgage and invest for money in more lucrative schemes, and in pensions.
Not to have your eggs all in one basket and all that. 

redundantmortgage

steampowered said:

When you buy the new place, your mortgage on the current property will be repaid anyway.

You can't really "port" a mortgage with a minimal balance on it.

This is what I'm trying to get my head round. Are we saying porting a mortgage puts you in a worse position than starting from scratch?

Movie_Star said:

Why keep a mortgage when you can easily afford to end it? The interest payable is like putting cash in the middle of the floor and burning it.

I was thinking about what I would save in the long run. If I had a mortgage of £100 it would cost around £4 a year but I'd save much more if it meant I got a better rate on a new mortgage.