would halifax let me off with mortgage penalty?

[ED209]

I currently have a three year fixed rate with Halifax, the tie in period ends in February 2013 (not sure of exact date) The initial loan amount was 83k. I recon the current balance would be something like 78k as i have been paying for 3 years.


However today we have agreed to part ex the current house against a new build. Its due to complete mid January. This would involve upping the mortgage to approx 144k with about 40% deposit. Obviously this would be during a period when i woluld be iable for a penalty.


I cannot get an appointment with my halifax adviser until friday however my question is this.


Would halifax be likely to release me from my current deal approximately a month early without any penalty if we were to start a new mortgage with them for a higher amount? This would mean they have retain more lucrative business in the long run.


The have a 5yr fixed on their website at 3.69% with no fees with 40% min deposit, this seems ideal for me.

[T350 Al]

In all likelihood they'll let you port your existing mortgage to the new property and let you take out a new one for the difference. We did this very recently with Nationwide and it was a piece of piss. It avoided any penalties etc for early redemption.

[caprirob]

Port the balance and borrow the extra on a product with no tie in then when your existing deal expires you can either remortgage or get a product transfer from halifax for the lot

Any decent mortgage broker will be able to do this for you if you can't get it done in branch

[Sarnie]

As mentioned above, you should be able to port the current balance without much issues. If I was you I'd take out the extra borrowing on a product without penalties and then at the end of February take out a new product to cover the whole amount.

Naturally this is all on the assumption that you fit the lending criteria for £144k borrowing.

[S10GTA]

I ported mine with Santandare a few weeks back without paying a redemption fee. I was only 18 months in too.

[ED209]

Sarnie said:

As mentioned above, you should be able to port the current balance without much issues. If I was you I'd take out the extra borrowing on a product without penalties and then at the end of February take out a new product to cover the whole amount.

Naturally this is all on the assumption that you fit the lending criteria for £144k borrowing.

This sounds ok. We will meet the critieria no problem. the mortgage is only 2x our joint salary approx and we will be putting 40% deposit. I have already been with halifax for 10 years with no missed payments and a good few over payments so there is evidence of my ability to pay. Lat time i was offered over 200k mortgage on my own, this will now be a joint mortgage.

[sumo69]

Based on that you should have no problem getting this done.

David