I'm just about to pay off my small mortgage (no congratulations this isn't down to any effort on my part - I was just lucky enough to come into some money)
Anyway, I sought a redemption figure from the Coventry. They sent it together with a form to fill in if I want to avail myself of their free scheme whereby they keep the charge on the property. The reason they give as to why I might want to do this is that if I ever want a further mortgage then I won't need a solicitor to draw up the charge document.
I'm very dubious about the benefits. Presumably, this wouldn't make it any easier for me to get a further mortgage - they'd still want to assess me against affordability criteria etc. Further, would there be an issue of being tied to the Coventry if I want a further mortgage. Generally, having paid the mortgage off, I just don't like the idea of there still being a charge on the property.
So, is allowing Coventry to keep the charge a good idea.
Anyway, I sought a redemption figure from the Coventry. They sent it together with a form to fill in if I want to avail myself of their free scheme whereby they keep the charge on the property. The reason they give as to why I might want to do this is that if I ever want a further mortgage then I won't need a solicitor to draw up the charge document.
I'm very dubious about the benefits. Presumably, this wouldn't make it any easier for me to get a further mortgage - they'd still want to assess me against affordability criteria etc. Further, would there be an issue of being tied to the Coventry if I want a further mortgage. Generally, having paid the mortgage off, I just don't like the idea of there still being a charge on the property.
So, is allowing Coventry to keep the charge a good idea.