Offset mortgage on a SOLD property

20122013

I have sold my property which has a fully offset mortgage, previously the lender was asking me how do I plan to pay my mortgage off in 25 years time. 

I am now wondering whether it would make any difference between using the sell proceeds rather than the money from my offset account? 

I am thinking to use the sell proceeds as I do not know who long it will take the sell proceeds to reach my bank account and I will keep still keep my savings account with the mortgage company after paying off my mortgage?

 

Flugelhorn

usually the mortgage on a property is paid off by the solicitor at completion so they will use the proceeds of the sale to do this 

20122013

Flugelhorn said:

usually the mortgage on a property is paid off by the solicitor at completion so they will use the proceeds of the sale to do this 

Do I  need to tell the mortgage company not to use my offset savings   I am tempted to leave it, as their admin can get a bit muddled and had costed me before.

Hoenir

Your mortgage is interest only presumably. The solicitor will use the sales proceeds to discharge the mortgage debt.  If the mortgage is discharged then the lender will return your savings too you. Plus any excess for which the property sells above the mortgage owed, net of costs.