H
heathmount
Guest
Hi there.
We've just bought our first house and am looking for some advice on what sort of mortgage to go for. I realise a lot depends on future conditions and there are no hard and fast rules but I'm looking for some ideas.
House price is 238K. We've got 63K in savings and a further 24K in ISAs. Should I be looking to plough the lot into a mortgage? Or keep the ISAs separate? Or put some into the mortage and have my savings as an offset?
And on the subject of ISAs - I understand that 24K in an ISA paying 6% is preferable to a 24K mortgage at 5.5%. But what about against a 150K mortgage at 5.5%? Doesn't the higher capital amount negate any gains the extra 0.5% on the ISA gives you, therefore it makes sense to put them into the mortgage?
I thought I knew a bit about all this but it gets confusing very quickly!
cheers
We've just bought our first house and am looking for some advice on what sort of mortgage to go for. I realise a lot depends on future conditions and there are no hard and fast rules but I'm looking for some ideas.
House price is 238K. We've got 63K in savings and a further 24K in ISAs. Should I be looking to plough the lot into a mortgage? Or keep the ISAs separate? Or put some into the mortage and have my savings as an offset?
And on the subject of ISAs - I understand that 24K in an ISA paying 6% is preferable to a 24K mortgage at 5.5%. But what about against a 150K mortgage at 5.5%? Doesn't the higher capital amount negate any gains the extra 0.5% on the ISA gives you, therefore it makes sense to put them into the mortgage?
I thought I knew a bit about all this but it gets confusing very quickly!
cheers