Halifax End of Fixed Term and Timing of Overpayment

peter3hg

The fixed term on one part of my Halifax is due to end in the coming months and I have a few questions on how Halifax deal with overpayments and their impact on product transfer offers, as well as when it is best to pay the SVR.

The fixed term ending represents about 25% of the total mortgage with the remainder having just under 3 years left at a low rate. Therefore there is no question of looking outside Halifax for a new deal.

Based on Halifax's current estimate of the house price I will be fractionally above the 60% LTV band, therefore it is my intention to make an overpayment to dip below 60% as I understand Halifax usually have better rates for 0-60% LTV.

My query is how long before the expiry of the current mortgage deal should I make an overpayment for it to feed through to the product transfer offers? As the mortgage is at <2% and savings rates are around 5% I'm loath to make the overpayment earlier than I need to.
Or if I spoke to one of their advisors would they be able to arrange it so the overpayment was taken as the current deal ended with the new deal starting immediately after?


My other question is really just a sense check on my thinking of the timing of when to take the fixed deal and when to pay the SVR.
My intention is to sync up the two parts of the mortgage when the larger part ends in 3 years to be able to access the whole market more easily going forward.
There is 2 years 10 months between the end dates of the two parts of the mortgage, therefore the obvious solution is to have a fixed term for 2 years and pay the SVR for approximately 10 months on the smaller part that is due to end soon.

My question is around whether to take the hit of the SVR now or in a few years time? My thinking is it is better to take the fixed term for two years now, and then the SVR is likely to be lower in 2 years time (acknowledging that there is no certainty around this.) The alternative is to pay the SVR now in the hope that the rates on transfer offers drop over the next 10 months, but this seems more of a gamble. Is there anything I've missed with this?


Thanks for your help.