Extend mortgage length for lower payments?

[SleepBecomesHim321]

We'll probably arrange to see a financial advisor but I thought I'd seek some pre-advice here, in the hope there's someone more knowledgeable than me who is willing to offer their tuppence....

We're going to move in the next few months, selling our current place which has about 20 yrs left on mortgage. We're moving to a different, cheaper area, and move partly prompted by high cost of living: high mortgage, high childcare, high general cost of living (London).

We're in one of the most expensive periods of our lives (I hope) given nursery costs. So when we move, we're wondering about the new mortgage having a longer term - maybe even 30 years - and getting an e.g. 5 year fix. In 5 years time, depending on circumstances and when other outgoings have reduced, we could perhaps shorten the term again.

Longer mortgage term obviously results in much more expense overall due to interest etc. But maybe it's worth it to buy ourselves some breathing space for a few years. Alternative is to buy a cheaper place when we move, keep mortgage length about the same and keep payments lower that way. Just don't know what to do.

Does anyone have any advice/perspective to offer? Thank you.

We’re just about to do the same currently have 8 years left of our term but moving house and getting a bigger mortgage over a 30 year term. Even if I don’t reduce the term I’ll still retire after it finishes so I’m happy with that. Although my partner is older than me and will have to carry on working so we can retire together. We want to have the extra cash for uni fees, house deposits etc!!

We did the same with ours.

While I work PT while kids are young we need to save costs as much as possible. Figure that when I work FT again, which doesn't actually mean hits double my current salary but opens up much more opportunity for higher paid jobs too, we can reduce the term then

Very similar, 2 I'm full time nursery. Bought a new house last year. 30 year term, fixed for 5 years. They key is to make sure you get one where you can make overpayments so that you can reduced the term if you have the spare cash. We like the lower monthly payments but if we do have anything left at the end of the month we pay it off the mortgage to keep chipping away at it. Once both are in school and childcare costs are reduced then we'll have more to pay off.

Yes have done this, needed to move due to second child arriving. Income fairly low due to part time. Wanted manageable payments till both kids in school and to help transition to much bigger expanse of two kids, bigger place, bigger bills. Did 30 years with 5 year fix to get predictable bills till youngest is in reception and hope to overpay or reduce term when we remortgage.

We did this too. It meant payments were manageable while income was lowest. Most mortgages allow you to over pay up to 10% of the loan every year so as DH has had pay rises we've increased the payments and now I'm at work we make huge overpayments so our 30 year mortgage should be paid off in 20 We haven't reduced the actual term as I like having the option of low payments just in case something like redundancy happens, giving us some flexibility.

We did this... We had 12 years left to pay, but the mortgage was taking up so much of our monthly income there was barely anything left after all other bills and essentials.
We added 8 years to the term and the monthly amount almost halved overnight.
It has made a massive difference, my husband was reluctant as he wanted it paid off asap, but it was ridiculous- we earn a comfortable amount on paper but couldn't afford any extras. I want us to enjoy life a bit, be able to afford days out and holidays. The kids won't care in 12 years whether the mortgage is paid in full, but they'll hopefully remember some fun family times we've had instead....