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Overpay on mortgage or save for next house

1 reply

greenleaf5 · 11/04/2021 11:44

We are wondering what to do with any left over money each month. It’s rarely a lot but we think we should save it for our next house purchase.

We have a 10% deposit on our current house and we’re looking to upsize in the next 3-5 years.

Does it make more sense financially to overpay on the mortgage each month or to save that money towards a bigger deposit? Interest rate is currently 2.5%.

OP posts:
LongIslandIcedT · 11/04/2021 11:51

Every overpayment you make increases your equity in your house that you will use as a deposit towards your next home.

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