Property News · August 14, 2013

What do '10% penalty-free mortgage overpayments' mean in real terms?


We are re-mortgaging for the first time, but are unsure whether the offer is based on 10% of the capital owingQ We are about to re-mortgage for the first time. Our goal is to pay our £170,000 mortgage off as efficiently as possible, opting to switch to a mortgage with a 20-year term, rather than the 22 years left on our current mortgage.As our house is valued at £250,000 we have been offered two very attractive rates. We can either go for a repayment mortgage with a fixed rate of 2.89% for five years or a 10-year fixed rate of 3.89%. Whichever we go for, we can make penalty-free monthly overpayments of up to 10%. Continue reading…

Source : theguardian.com
Read more…What do ‘10% penalty-free mortgage overpayments’ mean in real terms?

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