Need help clearing things up pls....

trampyblonde

Hi Guys,

My house is on the market at the mo. We're hoping to get wround 195k for it. We bought it for 164k.

My current mortgage is a fixed rate until 01.11.08. If we sell prior to this date then what happens about the mortgage and what happens when buying a new property? Mortgage is with Natwest.

Im a little confused as to what happens. We're off to see a mortgage advisor on Friday but an of your advice would help.

Sus :A

UK007BullDog

You could port your mortgage over to the new property. If the property is less value you will have to pay early repayment fees on the amount not being ported.

If you port and need more money then that is fine but they will charge you a fee for porting and you might have an extra fee for the new product you need to borrow extra.

You don't want to wait until November so you will incur fees if you stay with your lender or look elsewhere.

If you look elsewhere you will have an early repayment fee. Could be anything from 1% to 5% usually 3% on the outstanding amount you own now.

You need to work out what is better for you financially. As in November you might need to choose a product again and pay fees.