Do I pay off my mortgage?

Hi all - my fixed rate of 1.99% ends the end of March.  I’ll have about just under £15k left on the mortgage.  I have just over that in savings.  Is it wise to pay off the mortgage?  Or any suggestions what kind of mortgage to consider?  Thanks all in advance 


  • Bargainhunter30Bargainhunter30 Forumite
    249 Posts
    Eighth Anniversary 100 Posts Name Dropper
    What rates are your current provider offering when your fixed rate finishes? Most lenders won't offer you a new mortgage for this little.

    What's the interest rate on your savings? if this is higher than new mortgage rate consider leaving in savings, as this is a better return than the interest you'll pay.

     Do you have an emergency fund of 3-6 months? If not definitely consider leaving in savings to cover any unexpected expenses.
    Mortgage start date Nov 2014  - £90,545 over 25 years
    Re-mortgage Oct 2017 - 78,295 over 23 years
    Re-mortgage Jan 2020 - 55,000 over 26 years @ 1.94%
    Current Mortgage Outstanding Middle December 2020 - £47893.35 - a reduction of £42,652 in just over 6 years!  

  • RamouthRamouth Forumite
    587 Posts
    Fifth Anniversary 500 Posts Name Dropper
    It depends if you need the money for anything else really.  You may struggle to get another deal unless you plan to pay it back very slowly - we found they were not interested in anything less than 2 years and that the fees to switch would have been greater than the savings over just paying the SVR.
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