Hi,
Thinking of switching mortgage provider (currently with UB @ 2.6% to end of 2024). The AIB Green 5-Year LTV Fixed>50%<=80% @2.1% (with €2,000 cashback) is what we have our eyes on. Did a quick break fee check and it is worthwhile to switch, accounting for legal fees also.
Our LTV is still above 80% however.
(i) With ongoing inflation, would banks take account of a house revaluation by a third party? I would expect this valuation to bring the LTV below 80%, as a similar house on our street was sold recently for an amount that would more than cover the threshold.
(ii) Alternatively, I can overpay my mortgage now (by 10% p/a) which would also bring the LTV below 80% but I'm conscious that we hope to upsize our home in 5-6 years and would like to have 20% available for that and not tied to the first property. This could well be flawed logic mind you as I likely havn't thought through the short term cash flow process of switching homes!
Any advice is appreciated. Thank you.
Thinking of switching mortgage provider (currently with UB @ 2.6% to end of 2024). The AIB Green 5-Year LTV Fixed>50%<=80% @2.1% (with €2,000 cashback) is what we have our eyes on. Did a quick break fee check and it is worthwhile to switch, accounting for legal fees also.
Our LTV is still above 80% however.
(i) With ongoing inflation, would banks take account of a house revaluation by a third party? I would expect this valuation to bring the LTV below 80%, as a similar house on our street was sold recently for an amount that would more than cover the threshold.
(ii) Alternatively, I can overpay my mortgage now (by 10% p/a) which would also bring the LTV below 80% but I'm conscious that we hope to upsize our home in 5-6 years and would like to have 20% available for that and not tied to the first property. This could well be flawed logic mind you as I likely havn't thought through the short term cash flow process of switching homes!
Any advice is appreciated. Thank you.