Selling up and paying off mortgage

alxmorgan

Hey guys,

Never sold a house before so quick question
Let's say I owe 100,000 on my mortgage. If I sell up is that figure what I must pay the bank and then I'm done or is it more complicated ?

Variable mortgage so no fixed rate complications at least

thanks,

Penny Dreadful

You'll have to phone the bank up and get a redemption figure. This is higher than the amount you think you owe but not by much. They add in the interest that you'll owe.
I recently sold my house and had a variable rate too. I knew I had paid off X but the figure they got from me was X plus y.

Your solicitor will call and get this information for you.

alxmorgan

Penny Dreadful wrote: »

You'll have to phone the bank up and get a redemption figure. This is higher than the amount you think you owe but not by much. They add in the interest that you'll owe.
I recently sold my house and had a variable rate too. I knew I had paid off X but the figure they got from me was X plus y.

Your solicitor will call and get this information for you.

Yikes :eek: ...you have me scared now.

When you say not much....are we talking 100s, 1000s or into 5000, 10000 territory ? (i know it depends but ballpark)

thanks

Penny Dreadful

alxmorgan wrote: »

Yikes :eek: ...you have me scared now.

When you say not much....are we talking 100s, 1000s or into 5000, 10000 territory ? (i know it depends but ballpark)

thanks

Ohh didn't mean to scare you:) I was shocked a little when I found out that what I thought I owed was actually less than I did in real life. It was maybe €1000 extra but in the grand scheme of things didn't impact the end finances too badly.
One thing I was surprised at was how much I had to pay out from the money I thought I'd be getting. There is the percentage the estate agent negotiated with you and then your solicitor's fees too. I think that hit €1500 for me and that covered letters, phone calls, land registry dealings, etc. I know these things have to be done but I was a little put out at that as the sale was really simple and straight forward but thats life I suppose.

For your own sake OP call the bank up and ask them how much you owe right now today. Then ask them what the daily interest rate on your mortgage is and this will help you get an idea of what the redemption figure will be. Having an idea of when the sale will go through also helps you to calculate this figure. If you're going to close the sale two days after your next mortgage payment then it will be less than it is today for instance.
Then look at how much you've agreed to sell your house for and take the estate agent's percentage from this.
Next take away the fees you'e agreed with your solicitor and you'll have a pretty accurate end figure for yourself.

alxmorgan

Penny Dreadful wrote: »

Ohh didn't mean to scare you:) I was shocked a little when I found out that what I thought I owed was actually less than I did in real life. It was maybe €1000 extra but in the grand scheme of things didn't impact the end finances too badly.
One thing I was surprised at was how much I had to pay out from the money I thought I'd be getting. There is the percentage the estate agent negotiated with you and then your solicitor's fees too. I think that hit €1500 for me and that covered letters, phone calls, land registry dealings, etc. I know these things have to be done but I was a little put out at that as the sale was really simple and straight forward but thats life I suppose.

For your own sake OP call the bank up and ask them how much you owe right now today. Then ask them what the daily interest rate on your mortgage is and this will help you get an idea of what the redemption figure will be. Having an idea of when the sale will go through also helps you to calculate this figure. If you're going to close the sale two days after your next mortgage payment then it will be less than it is today for instance.
Then look at how much you've agreed to sell your house for and take the estate agent's percentage from this.
Next take away the fees you'e agreed with your solicitor and you'll have a pretty accurate end figure for yourself.

Ok 1000 I can live with. Will hurt a bit but if we were talking 5000 or 10000 then it was a different scenario altogether. I have the agents fees and an estimate for legal fees involved and going to verify legals today

thanks for the help

NIMAN

Recently sold a house and the redemtpion figure was maybe 100 euro more than was was left owing. Don't panic too much.

You will have to factor in a few grand for solicitor and agent, depending if you employ one to sell your house. They both normally charge around 1% or 1.5%, so looking at maybe another couple of K there.