Remortgage time.

Carl2510

Hello,

I’m just about to remortgage, probably pushing towards a 5 year deal, as I can’t see much upturn in the economy with Labour in charge. 

So not seeing much point in doing 2 just to remortgage onto possible worse deal.

my question is what are peoples thoughts on term of mortgage.

should I just keep it at 30 years and keep trying to overpay my 10% or reduce the term and still overpay.

thanks in advance.

la531983

Nobody in here can give you any sensible answer without knowing your specific circumstances.

Carl2510

la531983 said:

Nobody in here can give you any sensible answer without knowing your specific circumstances.

That’s fair enough. Thanks

born_again

I aways think the longer the fix the better. Just more stability on knowing what you will be paying.

But yes, keep overpaying. It is the biggest saving you will ever make in your life.

Yorkie1

I have always preferred to overpay without formally reducing the term of the mortgage. If you overpaid on the original term, at the same amount as you would pay for a revised shorter formal term, then you end at the same point in due course.

But retaining the original term gives you the flexibility of reducing your overpayments if you need to for any reason.

If you change lender at the end of a fixed term, and therefore remortgage, then the new lender will do a full affordability check. 

However, if you stay with your current lender, a simple product switch involves no further checks. But a formal reduction in term would be a full affordability check in all likelihood.