B2L - Small mortgage feasability

[thekingisdead]

I'm (hoping to) sell a house this summer and want to to pay-down the mortgage on another B2L with the proceeds. I could clear the mortgage completely (my preferred option) but this would wipe out my cash savings for a bit (not preferred).

Is it possible to get a small B2L mortgage, circa £5-20k?
I'm sure they are available, but am put off by the high fee's & extra valuations costs on a B2L mortgage for such a small loan amount.
I'm due to re-mortgage on my residential house around the same time, and am thinking taking out the extra on this (I have enough equity) and clearing the B2L may be the simplest option.

Cheers

Edited by thekingisdead on Friday 7th April 12:46

[Sarnie]

thekingisdead said:

I'm (hoping to) sell a house this summer and want to to pay-down the mortgage on another B2L with the proceeds. I could clear the mortgage completely (my preferred option) but this would wipe out my cash savings for a bit (not preferred).

Is it possible to get a small B2L mortgage, circa £5-20k?
I'm sure they are available, but am put off by the high fee's & extra valuations costs on a B2L mortgage for such a small loan amount.
I'm due to re-mortgage on my residential house around the same time, and am thinking taking out the extra on this (I have enough equity) and clearing the B2L may be the simplest option.

Cheers

Edited by thekingisdead on Friday 7th April 12:46

Most lenders have minimum advance figures....usually £20k-£25k..............not really a lot in it for them to be providing secured lending at lower figures.....

[thekingisdead]

Sarnie said:

Most lenders have minimum advance figures....usually £20k-£25k..............not really a lot in it for them to be providing secured lending at lower figures.....

I suspected that might be the case. I may look to borrow the money short term off family or just increase my residential mortgage to cover the difference.
Thanks

[NickCQ]

Out of interest, why can't you partly overpay the BTL mortgage from sale proceeds and then pay the rest off when you have the cash saved up?

[thekingisdead]

I wanted to be mortgage free on the B2L - mainly for the new tax rules (granted they're being tapered in).

I'll prob do some sums and see what's more efficient, increased residential mortgage or loss of interest relief on the B2L

[DonkeyApple]

Why not reduce the existing loan on the BTL to their minimum?