Can I continue paying my mortgage for a month after sale of house so as not to repay early redemption fee?
I am about to sell my house, I am in a pretty desperate situation so cannot hold out for much longer financially. I have a buyer who wants to exchange within the next couple of weeks (none negotiable – can’t lose this sale) . My problem is that I am tied to a mortgage which has an early redemption clause (this runs out in February 08). The early redemption fee is £5000, which is a considerable sum and one I cannot afford to lose. My question is, my house sale will go through in a couple of weeks, can I continue paying the mortgage once the house is sold until the early redemption date passes (only a matter of weeks after the sale goes through), or am I obliged to pay off the mortgage straight away once the sale has taken place. I have never been in this situation before (and hope never to be again) I am at the end of my tether and would appreciate any advice you can offer. I will be left with virtually nothing once the sale goes through, so the £5000 would help considerably